Colombia's benchmark COLCAP index fell 0.60% on Thursday, reversing the positive momentum that had characterized the market earlier in the week.
The decline was primarily driven by weakness in the energy sector, with state-owned oil producer Ecopetrol leading the losses as crude oil prices slipped in global markets.
57% on a broad-based rally underpinned by currency stability and a firmer backdrop for crude.
Trading activity remained subdued throughout the session, with thin volumes amplifying the impact of the sell-off in heavyweight names.
The peso strengthened slightly against the dollar, providing some offset to equity losses, but the currency's firmer tone was not enough to sustain investor appetite for local equities.
The pullback follows a period of relative stability for Colombian assets.
Earlier in the week, the COLCAP index had risen 0.13% to 2,301, supported by a firmer local currency and steadier crude oil prices. The previous Friday saw the index post its strongest close in weeks, climbing 1.57% on a broad-based rally underpinned by currency stability and a firmer backdrop for crude.
Investors are now watching for signs of renewed risk-on sentiment across Latin America.