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CHILE: BCCH Decision Due Next Tuesday

CHILE
  • Following an unchanged decision in July, both central bank surveys of economists and traders lean towards the BCCh resuming the easing cycle on Sep 03, cutting the policy rate by 25bps to 5.50%. Although softer-than-expected economic activity data supports this thesis, the uptick for both inflation and inflation expectations should leave the option to prolong the easing cycle pause on the table, reflected by the divided Bloomberg survey.

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