Latin America Economics Update Chilean GDP growth to slow as global headwinds build The fact that growth accelerated in Venezuela in Q3 but slowed in Chile paints a false picture of the relative strengths of each economy. Both are vulnerable to the drop in commodity prices that we... 18th November 2011 · 1 min read
Latin America Economic Outlook Weaker growth to be met with policy stimulus A combination of weak growth and deepening debt crises in the G7 and softer demand from China means that the economies of Latin America are likely to slow by more than most expect over the next few... 18th November 2011 · 1 min read
Latin America Economics Update Chile, Peru play a waiting game on rates The Central Bank of Chile (CBC) kept its policy rate at 5.25% for a fifth successive month last night. While policymakers in Chile and Peru will continue to exercise caution by not rushing into easing... 16th November 2011 · 1 min read
Latin America Chart Pack Growth slows in the “big two” Growth has slowed sharply in Brazil and Mexico – Latin America’s two largest economies – over the past quarter. In Brazil, there are tentative signs that a two-year boom in domestic demand has started... 29th October 2011 · 1 min read
Latin America Economics Update More to follow Brazil’s lead Brazil’s decision to continue cutting interest rates despite the fact that inflation is running at a five-year high remains as controversial as ever. Nonetheless, on balance we think that the central... 22nd October 2011 · 1 min read
Global Economics Focus Sovereign Debt: are the emerging markets immune? Emerging markets are not immune from the deepening debt crisis in the developed world, but most are well-placed to deal with the fallout. China faces a difficult structural transition of its own but... 21st October 2011 · 1 min read
Latin America Economics Update Chile: rate cuts expected from Q1 2012 Chile’s central bank (CBC) kept interest rates unchanged at 5.25% last night for a fourth straight month. We expect cuts from Q1 next year as global growth slows and food and energy price pressures... 15th October 2011 · 1 min read
Latin America Economics Update Chile’s budget expansion is built on solid foundations Chile’s 2012 draft budget sets out a 5% increase in public spending with no offsetting rise in taxes. On first inspection we would caution that some of the assumptions look to be too optimistic... 7th October 2011 · 1 min read
Latin America Chart Pack Markets take another pounding The Central Bank of Uruguay (BCU) left its benchmark interest rate unchanged at 8.0% last night as the board weighed downside risks to growth against stubbornly high inflation. We believe that the BCU... 30th September 2011 · 1 min read
Latin America Economics Update Rate cuts back on the agenda for 2012 The rapid deterioration in the growth outlook for the developed world, and the deepening crisis in Europe in particular, should in time vindicate last month’s surprise (and controversial) decision by... 29th September 2011 · 1 min read
Latin America Economics Update How vulnerable is Chile to a global slowdown? Chile’s open economy is more susceptible than most in the region to a deterioration of external demand. Policy stimulus will provide some relief, however we anticipate a below-consensus 3% growth in... 23rd September 2011 · 1 min read
Latin America Economic Outlook Heading into choppy waters The economies of Latin America are likely to slow by more than most expect over the next year. We do not anticipate a prolonged downturn, but the marked deterioration in the external environment means... 21st September 2011 · 1 min read
Latin America Chart Pack Market rout focuses attention on risks to growth Financial markets in Latin America suffered heavy losses during the recent global market turmoil, extending their poor performance so far this year. Equity markets fell by around 15% amid a widespread... 25th August 2011 · 1 min read
Latin America Economics Update Chile shifts to neutral on softer global growth prospects There were no surprises from Chile’s Central Bank (CBC) last night as the benchmark rate was maintained at 5.25%. With global demand set to slow but not collapse altogether, the likelihood of further... 20th August 2011 · 1 min read
Latin America Economics Update Chile’s resilient growth faces tougher times ahead Today’s Chilean GDP figures confirmed that the economy remained in good health over the second quarter. Even so, we are likely to witness a weaker performance from Q3 on the back of deteriorating... 19th August 2011 · 1 min read
Latin America Economics Update Mexican rates on hold until 2013 The recent turmoil in the financial markets has re-shaped the debate on how far interest rates may need to rise in Latin America. We still expect one or two more hikes in Peru, Colombia and perhaps... 18th August 2011 · 1 min read
