Latin America Economics Update Chile and Peru still happy to hold fire Interest rates in both Chile and Peru were left unchanged yesterday and policymakers in both countries are still giving little indication that they expect to tighten monetary policy anytime soon... 14th August 2015 · 1 min read
Latin America Economics Update Argentina’s primaries put Scioli in the driving seat With most of the votes in Argentina’s primary elections now counted, it appears that Daniel Scioli, of the ruling left-wing Front for Victory coalition, is on course to win the Presidential elections... 10th August 2015 · 1 min read
Latin America Economics Update Crisis deepens in Brazil The economic and political troubles facing Brazil have deepened over the past few weeks. The good news is that we think the big falls in the prices of the country’s commodity exports are probably now... 6th August 2015 · 1 min read
Latin America Economics Update Brazil hikes rates, tightening cycle probably over The decision by Brazil’s monetary policy committee (COPOM) to raise interest rates by another 50bp to 14.25% was largely expected, but the move to signal the end of the tightening cycle in the... 30th July 2015 · 1 min read
Latin America Economics Update Currencies hover around record lows The fact that many of the region’s currencies are now trading at or close to record lows against the dollar has grabbed all the headlines in recent weeks, but the falls of most currencies month-to... 29th July 2015 · 1 min read
Latin America Economics Update Brazil’s credit bubble deflating, consumers feel the squeeze A combination of increases in policy interest rates and curbs on lending by some public banks is taking some of the air out of Brazil’s credit bubble. So far it seems that the bubble is deflating... 28th July 2015 · 1 min read
Latin America Economics Update Chile’s economic recovery falters After a promising start to the year, Chile’s economy probably contracted in the second quarter due to the effects of the recent floods in the north of the country as well as a mini political crisis... 21st July 2015 · 1 min read
Latin America Economics Update Mexico: the costs and benefits of a weaker peso The drop in the peso to a record low against the dollar in recent weeks has rekindled concerns about what impact this will have on Mexico’s economy. In practice, however, the economics of currency... 20th July 2015 · 1 min read
Latin America Economics Update Chile: interest rate hikes still some way off Interest rates in Chile were left unchanged at 3.00% last night and the more dovish tone of the accompanying statement supports our long-held view that rate hikes are still some way off. We do not... 15th July 2015 · 1 min read
Latin America Economics Update Mexico oil auctions: what to look for and what they mean Mexico’s government will tomorrow auction rights to private companies to exploit oil reserves in the Gulf of Mexico – a move that marks the first step in opening up the country’s energy sector to... 14th July 2015 · 1 min read
Latin America Economics Update Lat Am’s shifting relationship with China The collapse in China’s stock market has rekindled fears over the outlook for its economy and led to renewed concerns about the spillovers to other EMs, including those in Latin America. As it happens... 10th July 2015 · 1 min read
Latin America Economics Update Political crisis deepens in Brazil Brazil’s political crisis has deepened over the past few weeks, with the latest testimonies in the so-called “car wash” probe bringing allegations of corruption at Petrobras a step closer to the door... 6th July 2015 · 1 min read
Latin America Economics Update Argentine policymakers still up to their old tricks Argentina’s statistics office reported that GDP grew by 1.1% y/y in Q1, but independent data suggestthat although conditions have improved, there has not yet been a return to growth. And worryingly... 29th June 2015 · 1 min read
Latin America Economics Update Brazil inflation report suggests more tightening to come The Central Bank of Brazil’s Q2 Inflation Report gives the clearest indication yet that policymakersbelieve they have more work to do in the fight against inflation. We’ve pencilled in another... 26th June 2015 · 1 min read
Latin America Economics Update Changes to Brazil’s inflation target reinforce hawkish message The changes announced by Brazil’s government to the central bank’s inflation target are small in thegrand scheme of things but reinforce the overall message that policymakers are serious about getting... 26th June 2015 · 1 min read
Latin America Economics Update Lat Am markets shrug off threat of Fed hikes Markets in Latin America have shrugged off signs that the US Fed will begin to raise interest rates over the coming months. While most currencies have weakened in recent weeks, the falls have been... 26th June 2015 · 1 min read
