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MNI BCCh Review - Dec 2023: Easing Pace Accelerates

MNI Chile Central Bank Review - Dec 2023

MNI Chile Central Bank Review - Dec 2023

Executive Summary

  • BCCh Accelerates Easing Pace, Strikes Dovish Tone
  • The Board of the Central Bank of Chile unanimously decided to cut the monetary policy interest rate by 75bps to 8.25%.
  • While this matched the median surveyed estimate, some had called for a more moderate 50bp move and so this may be perceived to reestablish a more dovish stance from the BCCh once more.
  • All analysts believe the statement struck a dovish tone and foresee a similar or even more aggressive cut in January as the most likely outcome.

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