Chilean consumer prices rose 0.1 percent in February from the month before, falling short of estimates made by analysts as food-price declines offset gains in clothing and transport.
The median estimate of 16 analysts polled by Bloomberg was for prices to rise 0.3 percent. Annual inflation eased to 1.3 percent last month from 1.6 percent in January, the National Statistics Institute said in a report today. Consumer prices excluding fuel and produce increased 0.1 percent from January.
Analysts polled by the central bank on Feb. 11 forecast inflation will reach the mid-point of the 2 percent to 4 percent target band within 11 months. The pick-up will be accompanied by an economic deceleration, with gross domestic product expanding 4.9 percent in 2013 after climbing 5.5 percent in the first three quarters of 2012, analysts forecast. The central bank is scheduled to publish fourth-quarter GDP data on March 18.
Consumer prices rose 1.5 percent last year, compared with 4.4 percent in 2011, falling short of the target band for the first time since 2010.
Two-year breakeven inflation, which is derived from the difference between nominal and inflation-linked yields on swaps, increased 24 basis points, or 0.24 percentage point, to 2.98 percent yesterday since the end of last year.
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