Latin America Economics Update Rise in Mexican investment has further to run Stronger investment spending looks set to underpin faster economic growth in Mexico over the coming years. So in contrast to Brazil where weak investment has caused capacity constraints to build and... 9th October 2014 · 1 min read
Latin America Economics Update Latest rise in Brazilian inflation gives ammunition to Neves The latest rise in Brazilian inflation, which has pushed it further above the upper bound of the central bank’s target range, will give further ammunition to Aécio Neves ahead of his run-off against... 8th October 2014 · 1 min read
Latin America Economics Update Venezuelan bonds in for a rough ride The Venezuelan government may have gathered enough foreign currency to meet its debt obligations this month, but with the economy crippled by a shortage of foreign currency and oil prices now falling... 3rd October 2014 · 1 min read
Latin America Economics Update Brazil Election Watch – heading to a second round No candidate looks set to secure a majority in the first round of voting in Brazil’s presidential election this Sunday, meaning that the race is all but certain to extend to a second round run-off... 2nd October 2014 · 1 min read
Latin America Economics Update Resignation of BCRA Governor opens door to more unorthodoxy The resignation of the Governor of the Argentine central bank (BCRA) opens the door for even more unorthodox economic policy. With no end in sight to the government’s debt dispute, and policymaking... 2nd October 2014 · 1 min read
Latin America Economics Update Brazilian industry under pressure, but Mexico is on the up The September manufacturing PMI for Brazil gives little hope that the economy snapped out of recession in the third quarter. Meanwhile, in Mexico, PMI surveys both at home and in the US continue to... 1st October 2014 · 1 min read
Latin America Economics Update Lat Am markets suffer more than most in latest EM sell-off Markets in Latin America have been hit particularly hard in the latest EM sell-off. A combination of factors has been responsible, including falling commodity prices and a renewed focus on the likely... 30th September 2014 · 1 min read
Latin America Economics Update Colombia: Interest rates unlikely to rise much further Interest rates in Colombia were left unchanged at 4.50% on Friday and we do not expect rates to rise in the near term. There may be one more 25bp increase to 4.75% next year if domestic demand remains... 29th September 2014 · 1 min read
Latin America Economics Update Brazil debt risks: private sector still poses the greatest threat Some commentators have argued that the deterioration in Brazil’s public finances in recent years has raised the risk of a fiscal crisis during the next presidential term, which runs from 2015 to 2019... 26th September 2014 · 1 min read
Latin America Economics Update Problems mounting for weak Argentine economy The Argentine economy was extremely weak in the second quarter and, with the government since defaulting on its debt, it seems that the situation will only get worse in the second half of this year... 25th September 2014 · 1 min read
Latin America Economics Update Brazil Election Watch – state of the race The latest opinion polls suggest that Brazil’s presidential election is going to go down to the wire, with support for President Rousseff stabilising in recent weeks. From the perspective of the... 24th September 2014 · 1 min read
Latin America Economics Update Colombia: Slower GDP growth points to interest rate hold Today’s weaker-than-expected Colombian GDP data, which showed that the economy grew by 4.3% y/y in Q2 (from 6.4% y/y in Q1), are likely to tip the balance in favour of interest rates being left on... 16th September 2014 · 1 min read
Latin America Economics Update Argentine peso has further to fall The Argentine government has introduced various measures in recent weeks to increase the availability of foreign currency in a bid to stem the depreciation of the peso in both official and unofficial... 15th September 2014 · 1 min read
Latin America Economics Update A period of low interest rates for Chile and Peru Interest rates were cut by 25bp in both Chile and Peru last night and policymakers have room to reduce rates further if growth continues to slow. With little chance of a significant rebound in growth... 12th September 2014 · 1 min read
Latin America Economics Update Mexican industry to drive outperformance of the economy Today’s data provide yet further evidence that Mexican industry is turning the corner. With rising demand from the neighbouring US set to boost the manufacturing sector, and the government’s fiscal... 11th September 2014 · 1 min read
Latin America Economics Update Brazil Election Watch: What might a Silva presidency mean for the economy? The economic programme put forward by presidential hopeful Marina Silva is a step in the right direction insofar as it addresses many of the problems that have contributed to a general decline in... 10th September 2014 · 1 min read
