Chile May Resume Tightening, Raise Rate to 3.5% on CPI Concern

Chile’s central bank will probably raise its benchmark interest rate today after pausing last month as accelerating economic growth has pushed inflation expectations to the upper limit of its target range.

Policy makers led by bank President Jose De Gregorio will raise the overnight rate by a quarter-point to 3.5 percent, according to 17 of 20 economists surveyed by Bloomberg. Three analysts expect the bank to keep the rate at 3.25 percent for the second straight month.