Chilean consumer prices rose 0.4 percent in March from the month before, the fastest pace in five months and more than analysts had forecast, led by a 4.3 percent jump in education costs.
The median estimate of 12 analysts polled by Bloomberg was for prices to rise 0.3 percent. Annual inflation was 1.5 percent last month, up from 1.3 percent in February, the National Statistics Institute said in a report today. Consumer prices excluding fuel and produce increased 0.2 percent in the month.
Policy makers last week reduced their 2013 inflation forecast to 2.8 percent from 2.9 percent while boosting economic growth estimates by a quarter-point. Inflation in 2014 will accelerate to 3 percent, matching the central bank’s target.
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, decreased seven basis points, or 0.07 percentage point, to 2.57 percent April 5 since the end of March.
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