Peru’s Sol Falls After Presidential Poll Gives Humala Wider Lead

Peru’s sol fell after a presidential poll gave former military rebel Ollanta Humala a wider lead over Congresswoman Keiko Fujimori than previous surveys.

The sol weakened 0.2 percent to 2.8293 per U.S. dollar at 12:14 p.m. New York time, from 2.8231 yesterday. The currency has declined 1.1 percent since Humala won the April 10 first- round vote, the second-worst performance among 25 emerging market currencies tracked by Bloomberg after Turkey’s lira.

A poll published on May 1 by Imasen, a Lima-based research company, gave Humala a 4.2 percentage point lead over Fujimori. A poll issued by Datum Internacional April 29 said Humala, a one-time ally of Venezuelan president Hugo Chavez, led by 1.2 percentage points, the narrowest gap of four surveys since the first-round vote.

“The market remains nervous after the poll by Imasen, which generated demand” for dollars, said Gonzalo Navarro, the head trader at Banco Santander in Lima. “Imasen’s survey didn’t confirm the trend and that’s caused the sol to start falling again. There is a little more demand from foreign banks because of the decline in the real and stocks so the central bank will probably intervene.”

To contact the reporter on this story: John Quigley in Lima at jquigley8@bloomberg.net

To contact the editor responsible for this story: David Papadopoulos at papadopoulos@bloomberg.net

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