Latin America Economics Update Chile: more interest rate cuts to come Policymakers in Chile cut interest rates by 25bp to 3.50% last night and gave a clear indication that there is more monetary easing to come. If economic growth does not pick up as we expect ,the risks... 15th August 2014 · 1 min read
Latin America Economics Update A fork in the road Data on vehicle production released over the past month suggest contrasting fortunes for Latin America’s two largest economies. While Mexico seems to be turning a corner and growth over the second... 13th August 2014 · 1 min read
Latin America Economics Update Credit growth cools, but vulnerabilities persist The pace of private sector lending growth in most parts of Latin America has continued to cool this year, but the credit boom of the past decade means that vulnerabilities persist in a few places. At... 5th August 2014 · 1 min read
Latin America Economics Update Weak Chile activity data point to further interest rate cuts Chile’s activity data for June point to GDP growth of just 2.3% y/y in Q2, an outturn that would mark the third consecutive quarter of sub-3% growth. With the economic outlook unlikely to improve in... 30th July 2014 · 1 min read
Latin America Chart Pack Argentina teeters on the brink of another default With talks between Buenos Aires and holdout bondholders seemingly having stalled, it appears increasingly likely that Argentina will be prevented from making an interest payment that is due on... 25th July 2014 · 1 min read
Latin America Economics Update Chile: More interest rate cuts likely this year T he Chilean central bank cut interest rates last night and with policymakers clearly more concerned about weak growth than above-target inflation, we expect more reductions in the coming months. We... 16th July 2014 · 1 min read
Latin America Economics Update More gloom for Brazil’s manufacturers June’s business surveys suggest that manufacturing in Brazil is doing little more than stagnating. By contrast, the outlook for Mexican manufacturers is much brighter – the latest survey data suggest... 1st July 2014 · 1 min read
Latin America Economics Update Contagion from Argentine debt dispute limited So far at least, financial markets in Argentina have largely shrugged off the fact that, barring a last minute deal with holdout creditors, the government now seems destined to enter a technical... 30th June 2014 · 1 min read
Latin America Chart Pack World Cup proving a welcome distraction for Brazil The 2014 Football World Cup is proving to be a welcome distraction from yet more downbeat news on Brazil’s economy over the past month. Our GDP Tracker suggests that, after dropping to just 1.9% y/y... 27th June 2014 · 1 min read
Latin America Economic Outlook Stuck in the slow lane Latin America’s economy looks set to remain stuck in the slow lane over the next couple of years. The drivers of strong growth over the past decade – including rapid credit growth and strong global... 19th June 2014 · 1 min read
Latin America Economics Update Interest rates on hold at 4% in Chile and Peru Policymakers in both Chile and Peru left interest rates unchanged at 4% last night and we expect above target inflation to restrict the room for rate cuts in the second half of the year. On balance... 13th June 2014 · 1 min read
Latin America Chart Pack GDP growth slowed in Q1, likely to remain sluggish First quarter GDP data released over the past month suggest that the region’s economy slowed further at the start of this year, with growth dipping to just 2.0% y/y in Q1, down from 2.2% y/y in Q4... 2nd June 2014 · 1 min read
Latin America Economics Update Bumpy road ahead for Lat Am markets Currencies, equities and bonds have all fared well so far this month after a turbulent past year. While we expect bouts of financial market volatility as US monetary policy becomes less accommodative... 22nd May 2014 · 1 min read
Latin America Economics Update Chile GDP: stronger than expected but still weak Chile’s economy performed better than expected in the first quarter of this year, but the bigger picture is that growth has slowed markedly from the 5.5-6.0% rates of recent years. As the commodities... 19th May 2014 · 1 min read
Latin America Economics Update Chile: Interest rates on hold for the rest of 2014 The Chilean central bank (BCC) left interest rates unchanged last night and, despite weak economic growth, our long-held view that rates will end the year at 4% looks increasingly likely. Elevated... 16th May 2014 · 1 min read
Latin America Economics Update Rising inflation to prevent interest rate cuts despite slow growth Rising inflation looks set to force policymakers in most parts of Latin America to keep monetary policy relatively tight despite evidence that the region is entering a new phase of weaker economic... 9th May 2014 · 1 min read
