LatAm central banks’ ahead in the week – BBH

Analysts at BBH have noted the central banks’ activity in the LatAm space in the upcoming sessions.

Key Quotes

“Chile’s central bank meets Tuesday and is expected to keep rates steady at 3.5%. CPI inflation eased to 4.5% y/y in March. While still above the 2-4% target range, it has fallen two straight months. The economy remains very weak, and so we think the bank will try to avoid further tightening if the current inflation trajectory continues”. 

“Peru central bank meets Thursday and is expected to keep rates steady at 4.25%. CPI inflation eased to 4.3% y/y in March. While still above the 1-3% target range, it has fallen two straight months. Political risks are rising a bit as a runoff vote on June 5 will be needed in the presidential election. Keiko Fujimori won the most votes in the first round but fell short of the 50% needed to avoid a runoff”.