Argentina cenbank trims reference rate for second straight week

martes 9 de agosto de 2016 19:00 GYT
 

BUENOS AIRES Aug 9 (Reuters) - Argentina's central bank lowered its 35-day reference rate by 25 basis points to 29.75 percent on Tuesday, and maintained its cautious anti-inflationary bias.

Up until mid-July, the central bank slashed the reference rate every week for more than two months, signaling confidence that inflation was slowing and making investments more attractive in the recession-mired country.

The bank then held the rate for three weeks, before returning to modest cuts starting last Tuesday.

The central bank said in a statement on Tuesday that it would "continue maintaining a clear anti-inflationary bias to insure that the disinflation process continues toward its objective this year of monthly inflation of 1.5 percent or less in the final quarter."

National statistics agency Indec has yet to report an annual inflation rate since the agency underwent reforms earlier this year, though authorities have produced monthly figures.

In its statement, the bank said that recent statistics showed a decrease in inflation in Cordoba province.

"This descending trend is consistent with other indicators and estimates from state and private sources that, as was anticipated in previous statements, suggest a significant drop in inflation in July," the bank said. (Reporting by Gram Slattery and Walter Bianchi; editing by Grant McCool)