Argentine Economists Forecast Deeper Recession, Hold Inflation Steady

Argentine economists forecast a deeper recession and maintained a pessimistic inflation forecast at a shade under 55% in the latest central bank monthly poll of analysts released on Wednesday, Reuters reported. The prediction follows weeks of political uncertainty and a plunge in the value of the peso after Alberto Fernandez, a Peronist candidate, soundly beat market-friendly incumbent President Mauricio Macri in an August primary election. Macri’s government last month sought to halt the slide by announcing currency controls and sought an extension of the maturities of about $100 billion in debt. Inflation was seen at 54.9% for the year, according to the survey of 45 analysts, down from 55% in the same central bank poll which was released last month, shortly after the shock primary election result. It will ease to 40.5% by 2020, the analysts said. Read more