12 Feb 2015
Bank of Chile to remain ‘on-hold’ today – TDS
FXStreet (Edinburgh) - The Emerging Markets Team at TD Securities expects the Chilean central bank (BCCh) to leave its benchmark rate unchanged at 3.0% in today’s meeting.
Key Quotes
“Despite accommodative monetary policy, growth has remained weak, with 2014 growth projected to be just 1.7%”.
“Annual inflation, which had been pushed higher by the dramatic depreciation of the peso, has continued to fall since October – falling from 5.5% in November to 4.6% in December, and decelerating slightly to 4.5% in January – but remains above the upper bound of the Bank’s 2-4% target band”.
“With anaemic growth and moderating inflation, we continue to expect the BCCh to keep rates on hold at 3.0%, and for the duration of 2015”.
Key Quotes
“Despite accommodative monetary policy, growth has remained weak, with 2014 growth projected to be just 1.7%”.
“Annual inflation, which had been pushed higher by the dramatic depreciation of the peso, has continued to fall since October – falling from 5.5% in November to 4.6% in December, and decelerating slightly to 4.5% in January – but remains above the upper bound of the Bank’s 2-4% target band”.
“With anaemic growth and moderating inflation, we continue to expect the BCCh to keep rates on hold at 3.0%, and for the duration of 2015”.