The Colombian peso fell 0.8% to 2,017.30 per dollar at 10:05AM EST, from 2,001.13 yesterday. Earlier it touched 2,021.65, its weakest level since November 3.
Colombia’s peso slid to the weakest level in a month as a cut in Spain’s credit outlook by Standard & Poor’s (S&P) sapped demand for higher-yielding, emerging-market assets.
“The main driver continues to be the external context, which is generating nervousness,” said Camilo Perez, an analyst at Banco de Bogota SA, the country’s second-biggest bank.
S&P said it revised Spain’s outlook to negative from stable, citing concern about its public finances.
The yield on Colombia’s 11% benchmark bonds due in July 2020 slid two basis points, or 0.02 percentage point, to 8.14%, according to Colombia’s stock exchange.