Indicators
Chile Economy Contracts for First Time in a Year as Recovery Stalls
- GDP contracts 0.6% in second quarter from prior three months
- Central bank has paused easing, though signaled it could cut
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Chile’s economy contracted on a quarterly basis for the first time in a year, marking a significant downturn that bolsters the case for a resumption of interest rate cuts.
Gross domestic product fell 0.6% in the second quarter from the prior three months, in line with the median forecast of analysts in a Bloomberg survey. From a year ago, it expanded 1.6%, the central bank reported on Monday.