Brazil is yet another country with accelerating inflation that may affect the central bank’s policy decision. This led to gains of the Brazilian real, which rose today, reaching the highest price since April.
Analysts estimated ahead of the official report that Brazilian consumer prices grew 6.41 percent in April. The figure is close to the upper band of the central bank’s target. Unlike Chile with consumer price growth prompting the central bank to refrain from action, Brazilian inflation may actually spur the Central Bank of Brazil to raise interest rates on the next policy meeting.
USD/CLP lost 0.08 percent to 2.2150 as of 9:49 GMT today.
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