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Activity Data Scheduled Thursday/Friday, Boric Extends State of Emergency

CHILE
  • January activity data remains the focus on the economic calendar this week. Production and retail sales data will cross on Thursday and will be followed by the key economic activity (Imacec) figures on Friday. Annual growth is expected to rise to +0.1% Y/y, against a prior reading of -1.0%.
  • The January unemployment rate fell to 8.4%, a tenth below the prior level but notably two tenths below the surveyed median estimate. The number of unemployed grew to 854,341 from 787,317 a year ago.
  • In local news, President Gabriel Boric on Tuesday extended by another month a state of emergency in force since Feb. 2 to facilitate aid to areas of the Valparaiso region in central Chile ravaged by forest fires. According to the latest report, a total of 6,974 homes have been destroyed.
  • The environmental court revoked license for Google’s data center in Santiago and ordered a new impact study that would take into account the effect of climate change on the project’s use of water resources, Diario Financiero reported.
  • Elsewhere, El Mecurio reported that the tax reform proposal will return to congress without reaching consensus.

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