The Colcap finished strong Tuesday with a 1.30% rise on heavy volume of COP274 billion. The index is now within 3.47% of being flat on the year, however if you were a foreign investor exchanging dollars, you would be up 1.58% after the appreciation of the peso.
Moody’s raised Colombia’s sovereign debt rating to an investment grade, Baa3, following S&P’s move in the 1st quarter of this year. With 2 of the 3 rating agencies now rating Colombia investment grade, the doors are open to a larger base of capital to realize investments here.
10 names rose more than 2% today led by Bogota based utility provider, ETB, and hydro power generator, Isagen.
The peso appreciated another 1% following the Colombian Central Bank’s move to raise rates 25bps recently.