Brazil’s read on inflation

September 19, 2024 Leave a comment

#Brazil (and #Chile‘s) central banks see #inflation before the rest of them.

Today, Brazil’s central bank raised interest rates.

They changed direction.

https://www.bloomberg.com/news/articles/2024-09-18/brazil-central-bank-hikes-interest-rate-to-10-75-as-economy-runs-hot?utm_source=website&utm_medium=share&utm_campaign=copy

Forget what the U.S. is doing.

It pays to queue off their moves.

Taming inflation, ask Brazil

The circles in the chart below denotes when Brazil’s central bank 

changed interest rates direction compared to where the Brazil’s inflation rate was, at the time.

September 19, 2024

by Rob Zdravevski

rob@karriasset.com.au

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Chile’s yield curve is more important

August 15, 2024 Leave a comment

Forget the U.S. yield curve, I’m watching the Chilean one.

When the Chilean yield curve inverts, an equities advance is stifled.

It hasn’t yet but it’s making its way there.

In the interim, this move towards zero percent should pause mainly because weekly streaks exhaust themselves.

The yield of the Chilean 2’s have risen for 9 consecutive weeks.

The 10 year yield has fallen for 7 straight weeks.

Inversely, while the streaks take a break, ‘risk’ could rip a little more.

by Rob Zdravevski

August 15, 2024

rob@karriasset.com.au

Screenshot

Filed under Finance & Investment Tagged with , , ,