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CPI Basket Changes Not Expected To Impact BCCh Interest Rate Decision

CHILE
  • On February 8th, the national statistics office is due to publish January CPI inflation data based on an updated 2023 base year. In a statement published on its website yesterday, BCCh said that this could have implications for the products it selects for its calculations of core inflation. In particular, it could affect the selection of products that are considered volatile. As a result, BCCh will not publish any measures for core inflation this month, while it updates its calculations. Revised data for core inflation will be published in March.
  • These changes are not expected to have any impact on tomorrow’s monetary policy meeting, when BCCh is set to cut its policy rate by 100bp to 7.25%.
  • The full MNI preview with analyst views is here: https://roar-assets-auto.rbl.ms/files/59711/MNI%20Chile%20Central%20Bank%20Preview%20-%20Jan%202024.pdf

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