FXStreet (Edinburgh) – Analysts at BBH assessed the recent decision by the Peruvian central bank to hike rates by 25 bp.

Key Quotes

“Peru central bank started a tightening cycle with a 25 bp hike to 3.5%. This was the first move since its 25 bp cut back in January”.

“It was expected to keep rates steady at 3.25%, but a small handful looked for a 25 hike”.

“August CPI rose 4.0% y/y vs. 3.56% in July. This is well above the 1-3% target range, and with inflation moving further above target, we warned of a hawkish surprise. At its August meeting, the central bank adopted a hawkish bias while leaving rates steady at 3.25%”.

Analysts at BBH assessed the recent decision by the Peruvian central bank to hike rates by 25 bp…

(Market News Provided by FXstreet)

By FXOpen