Santiago - Chile’s peso fell the most this year as an unexpected economic slowdown in China lowered the price of copper, dimming the country’s export prospects.
The peso depreciated 0.3 percent to 471.90 per US dollar at 10:06 a.m. in Santiago after dropping 0.5 percent, the biggest intraday decline since December 24.
The peso has weakened 1 percent in five days, the most among major Latin American currencies tracked by Bloomberg.
“The data from China are pressuring all commodity prices down, and investors are seeking refuge in the dollar,” Alexis Osses, an analyst at XDirect Chile in Santiago, said in a telephone interview.
Copper fell to a 17-month low of $3.1935 per pound after China reported that gross domestic product expanded 7.7 percent in the first first quarter from a year earlier compared with 7.9 percent in the last three months of 2012.