The Peruvian sol strengthened against the US dollar on Tuesday, marking a reversal from the previous session's decline.

Market participants are closely tracking the latest economic data from the United States, which continues to drive sentiment across emerging market currencies.

The shift in the USD/PEN pair reflects broader caution among traders regarding the Federal Reserve's policy trajectory.

After the sol weakened on Friday amid a wider trend of greenback strength, Tuesday's move suggests that some of the pressure on emerging market assets has eased.

Investors are recalibrating their positions based on incoming US economic indicators that hint at potential changes in the interest rate outlook.

Domestic factors in Peru also remain in focus.