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Focus On BCCh Economist And Traders Surveys This Week

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  • The May CPI data showed that last 3-month headline and core inflation are both running close to 4%ar, with core services proving persistent. However, underlying ex-volatile inflation edged down to 3.4% y/y. Meanwhile, Goldman Sachs view Friday’s BCCh minutes as dovish, noting that all Board members agreed that the options to cut the policy rate by 50bp or a larger 75bp seemed appropriate. They continue to expect the BCCh to deliver another 50bp cut at its June meeting.
  • Today, no macro data are due. In the week ahead, the central bank is due to publish its latest economist survey tomorrow, followed by the equivalent traders survey on Thursday, which will include analysts interest rate expectations ahead of the June 18 monetary policy meeting.
  • Meanwhile, President Boric is in Berlin today to meet with Chancellor Olaf Scholz as part of a broader trip to seek new foreign investment for the country’s energy industry.

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