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Monthly Economic Activity In December Falls 0.4%

CHILE
  • The central bank has just published the Imacec economic activity figures for December, with the annual figure slightly below expectations:
    • Chile Dec. economic activity falls 0.4% m/m (BBG)
    • Chile Dec. economic activity rises 10.1% y/y; est. +10.3% (BBG)
  • Yesterday saw a very strong day for emerging market currencies and the Chilean peso was no exception, rising over 1.5% with USDCLP closing back around 800. Attention is on support at 788.22, the Nov 10 low ahead of 783.23, the 50.0% retracement of the May - Dec 2021 upleg. Initial firm resistance is seen at 818.86 the 20-day EMA.
  • As a reminder, Chile Government said the 2021 fiscal deficit was 7.6% of GDP, according to a statement. The figure compares to estimate of deficit of 8.3% of GDP from third quarter public finances report.
  • Later, President-elect Gabriel Boric is expected to introduce his team of undersecretaries.

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