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50bps Rate Hike on the Cards for BCCh

LATIN AMERICA
  • The Chilean Central Bank are widely expected to hike the key interest rate by 50bps to 1.25%, but some analysts see a risk of a hike of as much as 75bps.
  • Inflationary pressures, an uncertain political backdrop and a weakening Peso may contribute to a more hawkish tone. Another accelerated round of pension withdrawals would add to the argument for expedited policy normalization.
  • Our full preview here: https://roar-assets-auto.rbl.ms/documents/11694/MN...
  • Elsewhere, Chile have eased further their COVID activity restrictions, with the curfews shifting to midnight to 5am (from 10pm previously).
  • Colombia's central bank and finance ministry hold a press conference at 2pm local time today, due to discuss the use of the $2.8bln in IMF SDRs that the central bank is due to transfer to the government.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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