10,999.64S&P IPSA · Wed Oct. 7 close · −1.47%

DailyDrop.

CLP 978.7USD/CLP · Wed Oct. 7 close · +0.45%
S&P IPSA10,999.64▼1.47%10/7USD/CLP978.70▲0.45%10/7S&P 5007,801.77▼0.22%10/7WTI$88.28▼1.30%10/7Gold$4,140.70▼1.11%10/7
Politics · SecurityPress ✓ 5 outlets · votes according to Emol, La Tercera, CNN Chile, BioBioChile and Cooperativa

Congress clears the Rules on the Use of Force: the Senate approved them 29 to 15 and the bill is ready to become law

After three years in the legislative pipeline, the bill introduced in 2023 by the Boric government was approved with votes from the governing coalition and part of the opposition.

On Wednesday, October 7, the Senate approved the Rules on the Use of Force with 29 votes in favor, 15 against and one abstention, according to Emol and La Tercera. The Chamber had approved them hours earlier with 111 votes in favor. The bill is ready to be promulgated.

The text sets a graduated scale, from deterrent presence to physical control, less-lethal means and blank rounds; potentially lethal force is allowed only if the earlier levels are insufficient. It applies to Carabineros and the PDI. The PS split, senators of the PC and the Broad Front voted against, and Senator Castro announced a reservation of constitutionality.

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By the numbers
29–15–1Senate votes (in favor, against, abstention)
111votes in favor in the Chamber
2023year the bill was introduced
Economy · MarketsPress ✓ 4 outlets · closing figures according to DF, Emol, La Tercera and The Rio Times

The IPSA fell 1.47% and closed below 11,000 points; the dollar rose to CLP 978.7 amid an adverse external backdrop

The IPSA fell 1.47% on Wednesday, October 7 and closed at 10,999.64 points, according to DF, which attributes the drop to the selling of long-term Treasury bonds over the violence in the Persian Gulf and to profit-taking after Brazil’s rally. SQM fell 2.9%. The dollar rose CLP 4.4 to CLP 978.7; Emol says the external backdrop dominates, with the Dollar Index above 102 points and the Federal Reserve minutes as the key event of the day.

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Word of the day
profit-takingselling to lock in gains

When investors sell shares that have risen in order to turn the gain into cash. It often causes declines after strong rallies, like Monday’s.


Politics · SecurityPress ✓ 3 outlets · Emol, La Tercera and CNN Chile

The Government announces it will not press ahead with its constitutional reform on security, and senators present a replacement

The Government announced it will not press ahead with its constitutional reform on security, according to Emol. Senators on the Constitution Committee would present a replacement centered on organized crime and the state of exception. Kast said he does not care who claims authorship of a law, according to La Tercera.

He had earlier said that if it has to be withdrawn he has no problem with that, but that a consensus should be sought (CNN Chile). DailyDrop did not see the text of the replacement or the number of votes.

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Economy · InflationPress ✓ 3 outlets · expectations according to La Tercera, CNN Chile and DF

The market expects September CPI of 0.5% today and sees no change in the Central Bank’s rate

The INE publishes September CPI today, Thursday, October 8. The Central Bank’s Financial Operators Survey projects a monthly change of 0.5%, according to CNN Chile; the economists consulted by La Tercera expect between 0.4% and 0.6%, with annual inflation of between 4.2% and 4.3%.

DF notes that the market assumes a no-surprise figure, although the dollar raises the risk that inflation ends the year near 5%. The Central Bank meets on October 26 and 27.

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Chile · BudgetPress ✓ 2 outlets · line items according to Emol and DF

2027 Budget: Health rises the most, regional governments and the Servel fall, and the opposition rejects the social cuts

According to Emol, in the 2027 Budget Health receives the largest increase in pesos, regional governments face a cut and the Servel falls about 12%. The Ministry of Sport rises 39.8% because of the Special Olympics World Games in Santiago next year.

DF reported that the opposition went into the first day of discussion with strong rejection of the cuts to social programs. Emol also detailed the steps and deadlines of the bill in Congress.

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In brief
  • IPSA −1.47% to 10,999.64; SQM falls 2.9%DF, The Rio Times
  • Dollar closes at CLP 978.7 (+CLP 4.4) after touching CLP 984DF, Emol
  • Wall Street: S&P 500 7,801.77 (−0.22%); WTI US$88.28 (−1.30%); gold US$4,140.7 (−1.11%)market data
  • Brent closes at US$100.20; diesel is prioritized in the reserve releasesThe Rio Times
  • Senate clears the RUF: 29 votes in favor, 15 against, 1 abstentionEmol, Cooperativa
  • Chamber approved the joint committee report on the RUF with 111 votes in favorLa Tercera, CNN Chile
  • Calisto will appeal to the Supreme Court after the removal of parliamentary immunityBioBioChile
  • Two-portfolio minister Mas expects mining output to fall 6.6% in 2026Emol
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Unverified — what circulated and does not hold up

“The RUF are already law.” Not yet: Congress cleared them, but promulgation is still pending; the PS announced a reservation of constitutionality and there could be a petition to the Constitutional Court (La Tercera, Emol).
“The dollar went back above CLP 980.” Narrowly not: it closed around CLP 978–979 according to DF, Emol and The Rio Times, after touching CLP 984 in early trading (DF).
“The Government has already presented its new security reform.” The announcement came from the Executive, which will not press ahead with the original; the replacement is being presented by senators and DailyDrop did not see the text (Emol).
Glossary · dotted words — economics, politics, security and sports terms explained in the context of the story. The list grows every day.
INSIDECongress clears the Rules on the Use of Force: the Senate approved them 29 to 15 and the bill is ready to become lawPolitics · SecurityThe IPSA fell 1.47% and closed below 11,000 points; the dollar rose to CLP 978.7 amid an adverse external backdropEconomy · MarketsThe Government announces it will not press ahead with its constitutional reform on security, and senators present a replacementPolitics · SecurityThe market expects September CPI of 0.5% today and sees no change in the Central Bank’s rateEconomy · Inflation2027 Budget: Health rises the most, regional governments and the Servel fall, and the opposition rejects the social cutsChile · Budget