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BCCh Decision, Monetary Policy Report Scheduled

CHILE
  • The BCCh is unanimously expected to keep the policy rate unchanged at 11.25% this week, having previously signalled that the cycle peak has been reached in the board’s estimations. Central bank commentary has reiterated that the rate will remain at this level “for as long as necessary to ensure the convergence of inflation to the target over the two-year policy horizon”.
  • Most recent developments for the economic outlook as well as the recovery of local asset prices have fast-tracked the debate for some analysts over when the BCCh might engage in rate cuts. This has increased the significance of the committee’s statement (due Tuesday) as well as both the November inflation print and the December Monetary Policy Report (IPOM), both due to be released on Wednesday, December 07.
  • The full MNI preview with analyst views will be published later today.

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