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BCRA Action Eyed Following CPI Release, 2023 Budget To Be Sent

ARGENTINA
  • Central bank officials are widely expected to raise borrowing costs this week after the latest release of inflation data.
  • Separately, President Alberto Fernandez and Economy Minister Sergio Massa, launch the fourth and fifth phases of the natgas subsidy program known as Plan Gas at 6pm local time. Additionally, the government is expected to send the 2023 budget bill to Congress before the end of the day.
  • August CPI Inflation Rose Slightly Ahead Of Surveyed Median Estimates:
    • Aug. consumer prices rise 7.0% m/m; est. +6.90% (BBG)
    • Aug. consumer prices rise 78.5% y/y; est. +78.20% (BBG)
  • Further increases may be in the pipeline, since the government raised regulated utility prices in September, which will likely have a knock-on effect in several sectors.

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