Colombian stocks declined sharply Tuesday as a drop in global oil prices drew investors away from local oil company stocks. The peso ended a nine-session rally as it weakened slightly against the greenback.
The IGBC index, which encompasses the Colombian stock market’s blue-chip shares, posted a 1.97%% decline to close at 14196.15 points.
The index’s heavyweight shares, oil company Pacific Rubiales and Colombia’s state-controlled Ecopetrol, both registered sharp declines as global prices for crude oil tumbled 3.3% to about $106 a barrel. Rubiales shares fell 2.7% to COP53,400, while Ecopetrol shares declined 2.0% to COP3,625.
Local bank shares also fell sharply Tuesday.
The Colombian peso weakened for the first day in 10 sessions Tuesday, to end at COP1,820.20 from COP1,817 on Friday, according to central bank data.
The yield on the benchmark, peso-denominated 2020 bond stood at 8.100% from 8.141% on Monday.