Economics
Argentina Central Bank Is Said to Near End of a Key Rate Floor
- Leliq rate was at 62.5% on Thursday, near floor of 60%
- Central bank needs to see 12 month CPI expectations drop again
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Argentina’s central bank may eliminate the floor on its benchmark interest rate in early December if it sees a second consecutive decline in inflation expectations, according to two people with direct knowledge of the plan.
The decision to eliminate the 60 percent floor may come as early as Dec. 3, said the two people. Policy makers want to see both the median and average estimate for 12 month CPI expectations drop in the November survey of economists, the people said. The survey will be published on Dec. 4.