Chile Resumes Easing Cycle with Interest Rate Cut
Chile Resumes Easing Cycle with Interest Rate Cut
Chile Resumes Easing Cycle with Interest Rate Cut
News summary

Wall Street's anticipation of a significant 50 basis point interest rate cut by the Federal Reserve in September has grown following a weaker-than-expected job openings report for July, with the odds of such a cut rising to 45% from 38% the previous day. Similarly, the CME’s FedWatch tool shows a 43% chance of a larger cut and a 57% chance of a smaller 25 basis point cut, with no expectation of rates remaining unchanged. Concurrently, Chile's central bank has cut its key interest rate by a quarter percentage point to 5.5%, resuming its easing cycle to support economic growth amid inflation concerns. Policymakers in Chile indicated that further rate reductions could happen faster than previously expected, provided economic conditions align with their forecasts.

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Last Updated
13 days ago
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