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Free AccessItaú Now See Lower Year-End Policy Rates In Both Mexico & Peru
- ITAU CUTS PERU 2023 GDP FORECAST TO 1.4% FROM 1.8% (BBG)
- Additionally, Itaú now expect the central bank to start cutting its policy rate by 25-bp in each of the meetings of the last quarter of 2023, reaching a level of 7.00% (previously they expected it at 7.75%) given falling inflation, softer activity and well behaved exchange rate.
- Similar story in Mexico where Itaú now expect the central bank to cut interest rates by 25 bps in each of the last two monetary policy decisions of the year (November and December), reaching a level of 10.75% before year-end (previously at 11.25%).
- More-benign core inflation readings amid falling 12-month inflation expectations and a well-behaved Mexican peso will likely lead the central bank to cut rates earlier than they had previously expected.
To read the full story
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.