Chile Stock Market IPSA Drops 1% On $100 Brent

(MENAFN- The Rio Times) Rio Times Daily Market Brief. Chile Thursday, March 13, 2026 · Covering the session of Wednesday, March 12, 2026 The Big Three 1. IPSA Falls 1% - Softest Decline in LatAm. The S&P IPSA dropped 1.00% to 10,399.64, erasing two days of recovery gains but posting the mildest loss in Latin America for the session. Diario Financiero reported Itaú (−5.3%) led losses after reporting the largest monthly profit decline in the banking sector, followed by Copec (−3.8%), IAM (−3.8%), and Latam Airlines (−3.1%). 2. Brent Returns to $100 - Chile's Worst Nightmare. Brent crude surged 9.22% to $100.46 after Iran's new supreme leader declared the Strait of Hormuz should remain shut. For Chile - which imports virtually all its petroleum - the return of $100 oil reverses the relief that Monday's crash to $87.80 had provided. The IEA's emergency release of 400 million barrels failed to cool the market. Higher oil directly threatens inflation, the current account, and the BCCh's easing calculus. 3. Wall Street Posts 2026 Lows; Peso Under Pressure. The S&P 500 fell 1.52% to 6,672.62 and the VIX surged 12.63% to 27.29, both posting 2026 extremes. The dollar strengthened globally (DXY near 99.5), pressuring the peso. Grupo Financiero Monex noted the DXY reached a five-day high as the Hormuz blockade and surging energy prices drove safe-haven demand. The BCCh's TPM at 4.50% leaves a compressed rate differential with the Fed (3.50–3.75%). Market Snapshot

Indicator	Value	Change
S&P IPSA (BCS)	10,399.64	−1.00%
Intraday Range	10,292 – 10,505	-
USD/CLP	~CLP 897	+0.12% wkly
BCCh TPM	4.50%	Hold
Brent Crude	$100.46	+9.22%
Gold (XAU/USD)	$5,138.11	−0.79%
S&P 500	6,672.62	−1.52%
VIX	27.29	+12.63%
IPSA from ATH (11,721)	-	−11.27%

Chile Stock Market IPSA Today: Equities

The Chile stock market IPSA today gave back most of its two-day recovery rally, falling 1.00% to 10,399.64 as the return of $100 Brent reignited fears about Chile's unique oil-import vulnerability. Diario Financiero reported the IPSA's decline was the softest in Latin America for the session, with the index opening at 10,505.21 (matching the session high) and selling off to a low of 10,292.02 before recovering slightly into the close.

This is part of The Rio Times' daily coverage of Chilean markets and Latin American financial news. For context, see our prior session's report: Chile IPSA +1.69% as Latam Airlines Soars 7% on Oil Drop. Also read: Chile IPSA Edges Up 0.16% to 10,314 but Sheds 5.2% Weekly.

Itaú Chile led the losers at −5.3% after reporting the largest decline in monthly profits among Chilean banks in the February preliminary figures. Copec fell 3.8%, pressured by its energy and forestry exposure in a risk-off environment. IAM lost 3.8% and Latam Airlines dropped 3.1% as the Brent surge reversed Monday's jet-fuel relief rally. The airline had soared 7.4% just two days earlier on the oil crash to $87.80; Thursday's return to $100 erased that entire repricing.

The IPSA now sits 11.27% below its all-time high of 11,721.38 reached on January 28. In 2025, the index recorded 72 all-time highs; in 2026, it has yet to achieve one. The correction from the ATH to the March 5 intraday low of 9,931.28 represented roughly 15.3% - the deepest pullback since the post-Boric election selloff of December 2021. Despite the recovery to 10,604 on Monday, the IPSA has given back approximately half that bounce in two sessions, highlighting the fragility of the recovery in the face of renewed oil-driven headwinds.

Currency

The Chilean peso exchange rate today faced renewed pressure as the dollar strengthened globally on the oil shock. USD/CLP traded near CLP 897 per Investing, with the dollar accumulating a modest 0.12% weekly gain against the peso. In the annual comparison, the dollar remains down 4.91% against the peso, reflecting the structural strengthening driven by copper prices and the Kast administration's pro-market agenda.

Grupo Financiero Monex reported the DXY reached a five-day high of 99.60 on Thursday, driven by the Hormuz blockade and surging energy prices. For the Chile stock market IPSA today and the peso, the oil dynamic is uniquely negative: as a near-total petroleum importer, higher crude directly raises import costs, widens the current account deficit, and threatens the below-target inflation trajectory that had been the BCCh's key achievement.

The BCCh monetary policy rate (TPM) stands at 4.50%. Chile's February CPI had shown the slowest inflation since 2020, reinforcing the case for continued easing. However, $100 Brent throws that calculus into question: Banxico's modeling suggests every $10/bbl sustained Brent increase adds 0.3–0.5 percentage points to CPI, and similar pass-through dynamics apply in Chile given its total import dependence. Analysts project USD/CLP in the 820–880 range by year-end, assuming political stability and sustained copper demand - a target that faces significant upside risk if the oil crisis persists.

Technical Analysis & Chart

The daily chart shows a bearish candle with the open at 10,505.21 matching the session high - a textbook signal of sellers in control from the open. The close at 10,399.64 sits near the middle of the intraday range (low: 10,292.02), suggesting some buying interest emerged at lower levels but was insufficient to produce a meaningful recovery.

Momentum indicators remain bearish. The MACD line at −26.19 sits above the signal at −144.93, with the histogram at −171.13 - all three deeply negative. The RSI reads 41.20 (fast) and 39.79 (slow), both below the 50 midline but not yet at the oversold extremes that preceded the March 5 bounce. The 200-day SMA at 9,485.74 provides a strong structural floor roughly 8.8% below current levels.

Key resistance sits at the 10,427–10,541 zone (Bollinger midline and 20-day SMA cluster), while the all-time high of 11,721.38 is a distant 12.7% overhead. The correction from peak to current close represents an 11.27% drawdown - deeper than a standard pullback but consistent with a major correction within a structural bull market.

The IPSA needs to reclaim 10,541 to signal stabilization and clear 10,678 (upper Bollinger zone) to confirm the recovery is gaining traction. Below 10,163 (the next support visible on the chart), the 10,000 psychological level and the March 5 intraday low of 9,931 become the targets.

Key Levels

Level	Price	Significance
Resistance 3	10,702.46	Upper Bollinger Band
Resistance 2	10,541.55	20-day SMA / Bollinger midline
Resistance 1	10,427.02	Moving average cluster
Last Close	10,399.64	Session close
Support 1	10,163.94	Chart support zone
Support 2	10,000.00	Psychological level
Support 3	9,485.74	200-day SMA

Global Context

Thursday's global session was dominated by the Strait of Hormuz escalation. Brent crude surged 9.22% to $100.46 per barrel - its first close above $100 since August 2022 - after Iran's new supreme leader Mojtaba Khamenei declared the strait should remain closed. Three commercial vessels were struck in the Persian Gulf. The IEA's emergency release of 400 million barrels of strategic reserves failed to cool the market. U.S. Energy Secretary Chris Wright acknowledged the Navy is not ready to escort tankers before month-end.

Wall Street posted its worst session of 2026: the Dow fell 739 points (−1.56%), the S&P 500 dropped 1.52% to 6,672.62, and the Nasdaq shed 1.78% to 22,311.98 - all posting 2026 closing lows. The VIX surged 12.63% to 27.29. Gold edged down to $5,138 as the stronger dollar offset safe-haven demand.

For Chile, the oil shock is unambiguously negative. Unlike Colombia and Argentina, which are net crude exporters and benefit from higher prices, Chile imports virtually all its petroleum. As XTB analyst Emanoelle Santos has noted, the balance for Chile is clear: costs rise, sentiment deteriorates, and outflows accelerate. Every $10 sustained increase in Brent feeds directly into Chilean gasoline prices, transportation costs, and ultimately CPI - threatening the below-target inflation path that was the BCCh 's key policy achievement. The only partial offset is that lower global growth expectations could depress non-oil import costs, but this effect is dwarfed by the direct energy channel.

Looking Ahead

Today (March 13): U.S. GDP second estimate for Q4 2025, University of Michigan 5-year inflation expectations, and JOLTS data. Any upside surprise in inflation expectations would strengthen the dollar, pressure copper, and weigh further on the peso and the Chile stock market IPSA today.

March 18: The Federal Reserve rate decision. Rates are expected to hold at 3.50–3.75%. The dot plot and statement language on oil-driven inflation will be critical for EM rate expectations. The compressed BCCh-Fed rate differential (4.50% vs 3.50–3.75%) limits carry-trade support for the peso.

Copper trajectory: Copper remains the single most important variable for the IPSA and the peso. Cochilco's 2026 forecast of $4.45–$4.55/lb assumes stable Chinese demand - an assumption under pressure from Beijing's 4.5–5.5% GDP growth target, the lowest since 1991. Copper's ability to hold above $4.00/lb through the oil shock will determine whether the peso can sustain its year-over-year strength.

Structural factors: XTB projects a year-end IPSA target of 11,500 points (range 10,800–12,200), while Morgan Stanley maintains a 12-month target of 13,700. The incoming Kast administration's pro-business agenda - including a corporate tax cut from 27% to 23% and $6 billion in spending cuts - remains the medium-term catalyst, but execution risk is high and the oil shock complicates the near-term growth and inflation outlook.

Verdict

Chile is the most vulnerable LatAm economy to the $100 Brent scenario. The 1% IPSA decline was the mildest in the region, but this relative outperformance masks the structural damage: the oil shock directly threatens Chile's below-target inflation path, complicates the BCCh's easing cycle, and widens the current account deficit. Monday's 1.69% rally on the oil crash to $87.80 was the market pricing in relief; Thursday's session priced in the reversal of that relief.

The technical picture is weakening but not broken. The IPSA remains 8.8% above its 200-day SMA, the RSI is approaching oversold but hasn't reached the extremes that preceded the March 5 bounce, and the MACD histogram is deeply negative. The index needs to hold above 10,163 to maintain the recovery narrative; below 10,000, the psychology shifts to a retest of the 9,931 intraday low.

Bias: Bearish near-term, cautiously bullish medium-term. Chile stands to gain the most if oil normalizes, copper holds, and the BCCh resumes easing. But $100 Brent is the opposite of normalization. The IPSA needs sustained sub-$90 Brent before the market can fully reprice the oil-vulnerability discount. Copper trajectory and the Strait of Hormuz situation are the two pivots. Year-end target range of 820–880 for USD/CLP supports a constructive peso view only if the oil shock proves transitory.

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