Central Reserve Bank of Peru
A Shift from Fixed Income Assets Into Stocks
September 14, 2018
The second week of September came and went without the feared announcement of much higher U.S. tariffs. Even though that danger remains looking ahead, there’s been a return ot riskier assets. Share prices in the Pacific Rim rose 1.2% in Japan today, 1.0% in Hong Kong and Singapore, 1.3% in Indonesia and Taiwan, and 1.4% […] More
More Volatile Global Markets as Concern Mounts about Turkey
August 10, 2018
Turkey commands the spotlight of global financial markets this Friday. Talks broke down between the U.S. and Turkey over the latter’s continuing detention of an American evangelical pastor, which has prompted economic sanctions by the United States on an economy already gripped with upward spiraling inflation and a central bank interest rate near 18%. The […] More
Central Reserve Bank of Peru
June 8, 2018
Peru’s central bank policy rate was kept steady at 2.75%. That’s the level reached after a string of alternate odd-numbered monthly 25-basis point cuts beginning in May 2017 and ending in March 2018. A statement released by the BCRP Board asserts that whereas CPI inflation of 0.9% on year in May lay below the target […] More
Central Reserve Bank of Peru
May 10, 2018
Peru’s policy interest rate, which underwent six 25-basis point cuts from May 2017 to March 2018, was kept steady after this month’s monetary policy review. While inflation rose in April, it reached only 0.5%, half of the target floor. According to a released statement, “the Board considers that it is appropriate to maintain an expansionary […] More
Central Reserve Bank of Peru
April 12, 2018
Being an even-numbered calendar month, Peru’s central bank board did not change its policy interest rate in April. The last six reductions, each by 25 basis points, were made at scheduled monthly meetings in the even months of May, July, September, November, January and March. The rate is now at 2.75%, and the statement accompanying […] More
Central Reserve Bank of Peru
January 11, 2018
Peruvian Central Bank Board members continued the pattern of cutting their policy rate every other monthly meeting. As they had done in May, July, September, and November, officials cut such by 25 basis points, and the new level becomes 3.0%. A released statement projects a further near-term decline of CPI inflation and core inflation. Inflation […] More
Central Bank Rates in Chile, Peru and Colombia Left Unchanged
December 14, 2017
The Central Bank of Chile’s main interest rate was retained at 2.5%, but a released statement expresses some concern about the effect of inflation staying below target might have on actual inflation. “The risks of a delay in the convergence of inflation associated to its current persistently low level are still present, so, if deemed […] More
Central Reserve Bank of Peru
November 10, 2017
Peru’s policy interest rate has been lowered from 3.5% to 3.25%. This action follows three earlier 25-basis point cuts this year done in May, July and September. Taken together, this one percentage point of reduction offsets four 25-basis point rate increases between September 2015 and February 2016. The reversal is possible because of an ongoing […] More
Central Reserve Bank of Peru’s Policy Interest Rate Left Steady at 3.5%
October 12, 2017
At Board meetings in May, July and September, three of the four 25-basis point central bank interest rate hikes implemented between September 2015 and February 2016 were reversed. A reversal of supply shocks enabled inflation to drop back into the 1-3% target range in September after spiking to 3.2% in August, but officials had anticipated […] More
A 25-Basis Point Interest Rate Cut in Peru
September 15, 2017
Authorities at the Central Reserve Bank of Peru implemented the third 25-basis point cut of 2017 following moves in May and July. A released statement justifies this third cut, even in the face of higher inflation in August than July, by projecting a decline in trend inflation over coming months and noting both lower expected […] More
