No official inflation data was published in the last week. Estimates and high-frequency indicators from state and private sources monitored by the Central Bank showed a price evolution during the month of October in line with the disinflation path foreseen by the monetary authority.
Beyond the clear disinflation process of recent months, inflation expectations for the year 2017 from the Market Expectation Survey at the end of September carried out by the BCRA are three points above the upper limit of the established target of 12% to 17%.
Therefore, in order to consolidate the disinflation that has already occurred this year and to advance in the process of convergence of inflation expectations for 2017 towards the announced targets, the Central Bank decided to maintain its monetary policy rate at 26.75% and leave its pass rates unchanged.
The BCRA will continue to maintain a clear anti-inflationary bias to ensure that the disinflation process continues towards its target for this year of a monthly inflation of 1.5% or lower in the last quarter and that inflation expectations for 2017 decrease
