The USD to CLP exchange rate has faced downward pressure recently, with analysts noting that the US dollar remains subdued due to a prevailing risk-on mood among investors. As of December 4, 2025, the dollar trades at 923.2 CLP, which is 2.3% below its three-month average of 944.8 CLP. This lower rate reflects a more stable range of movement over the past few months, oscillating between 917.7 and 967.0 CLP.
Market sentiment has shifted as traders increasingly anticipate aggressive rate cuts from the Federal Reserve, projecting these cuts may begin as early as March to June 2026. This expectation has led to a weaker USD as it narrows the interest-rate differential that typically supports the dollar’s value. Despite strong labor market indicators, recent economic data shows signs of slowing growth, particularly in manufacturing and consumer spending, further suggesting a softer outlook for the USD.
In the context of the Chilean peso, the Central Bank of Chile has maintained a policy interest rate of 5%, citing ongoing external challenges and domestic inflationary pressures. Economic performance is mixed; while the mining sector shows resilience with a year-over-year growth of 2.1%, other areas like services are declining. Political uncertainties, particularly regarding constitutional reforms, continue to influence investor sentiment around the CLP.
With improvements in global risk sentiment and a stabilization of other major currencies such as the EUR and JPY, analysts suggest a broader weakening of the USD, especially if equity markets remain strong. This context indicates that the CLP may hold steady or gain slight ground against the USD in the medium term, as traders adjust their positions in anticipation of monetary policy shifts and projected economic performance in both countries. Attention must still be given to potential geopolitical developments, which could lead to fluctuations in safe-haven demand for the dollar.
