Chile’s consumer prices rose more than forecast in July, supporting the central bank’s decision to hold its interest steady last week, interrupting a year of aggressive monetary easing amid risks including higher energy costs, Bloomberg News reported. Prices increased 0.7% from June, more than the 0.6% median estimate from analysts in a Bloomberg survey. The annual inflation rate ticked up to 4.6% in the chained series, the National Statistics Institute reported on Thursday.
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Brazil’s central bank said it won’t hesitate to raise its interest rate as the inflation outlook worsens, marking a significant change in guidance barely a month after pausing a monetary easing cycle, Bloomberg News reported. The committee “unanimously reinforced that it will not hesitate to raise the interest rate to ensure inflation convergence to the target if it deems it appropriate,” central bankers wrote in minutes to their July 30-31 rate meeting, when they held the benchmark Selic at 10.5% for the second straight time.

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