Chile: Inflation eases in April
May 8, 2012
In April, consumer prices rose 0.1% over the previous month, which was half the 0.2% increase recorded in March but matched market expectations. The monthly reading mainly reflected higher prices for transport and healthcare, which were partially offset by lower food prices. As a result of the monthly reading, annual headline inflation fell from 3.8% in March to 3.5% in April, thus remaining within the 1.0% tolerance margin around the Central Bank's target of 3.0% for the second consecutive month. The core inflation index, which excludes volatile categories such as oil, fresh fruit and vegetables, dropped 0.2% over the previous month, prompting annual core inflation to edge down from 3.1% in March to 2.6% in April. In its March Monetary Policy Report, the Central Bank expects inflation to end the year at 3.5%. For 2013, the Bank expects inflation to end the year at 3.0%.