Our EM strategists see Chilean assets entering a structural re-rating phase and recommend going long 10-year local currency government bonds for absolute-return investors. A likely right-wing victory in the November elections,…
Chilean equities are undergoing a structural re-rating. A political swing back to a pro-business administration, a benign macro backdrop, and a resilient exchange rate will drive Chilean markets’ outperformance versus EM peers.…
In this chartbook, we look at the balance of payments across DM and EM countries. The US does not fare well, but neither do a few other countries.
In absolute terms, Chilean markets and the currency will fall given a strengthening trend in the US dollar and weak global trade. However, Chile’s economy can withstand the global trade slump relatively well due to substantial…
Non-trivial macro divergences have emerged between mainstream LATAM economies. This report compares and ranks Brazil, Mexico, Colombia, Chile, and Peru based on their business cycle outlook, macro policy stance, external accounts,…
We dig into the USD-denominated Emerging Market Sovereign Index to see which credit tiers and countries offer value relative to US Credit.
According to BCA Research’s Emerging Markets Strategy service, Chilean bank stocks offer great value and are poised to outperform the EM equity benchmark. Chilean bank share prices are well-positioned to outperform due…
The stars have aligned for a major outperformance of Chilean stocks versus the EM equity benchmark. Plummeting inflation in Chile will push monetary authorities to continue their aggressive rate cuts, engineering a quick economic…
According to BCA Research's Emerging Markets Strategy service, the Chilean peso’s depreciation is already quite advanced. Over the next few months, the CLP will remain under downward pressure due to a likely…