Chile: Lower-Than-Expected Inflation in May

Chilean inflation slowed to 3.9% yoy in May, missing expectations of 4.2% due to benign core goods price prints. This outcome encourages the central bank to maintain its wait-and-see monetary policy approach.

Key Takeaways

• 1.Consumer prices in Chile rose by 0.2% mom in May, falling below the consensus expectation of 0.4%.
• 2.Annual headline inflation eased to 3.9% yoy, driven by a benign performance in core goods inflation.
• 3.The recent data, combined with a weak labor market and sluggish economic start to the year, supports the central bank's wait-and-see stance.

Table of Contents

• KEY NUMBERS (May)
• DETAILS
• Disclosure Appendix