Chile central bank surprises with 50 basis point rate cut

June 7, 2019

SANTIAGO (Reuters) – Chile’s central bank unexpectedly cut the benchmark interest rate by 50 basis points to 2.5% on Friday, citing slower-than-expected inflation and a gloomier outlook for the economy due to global trade tensions.

A central bank poll of traders had forecast a rate hold in the short-term. The decision, which the bank said was taken unanimously, reflects growing concerns in the world’s top copper producer about impacts from the U.S.-China trade dispute.

(Reporting by Natalia Ramos, Editing by Rosalba O’Brien)

Comments (No)

Leave a Reply