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LatAm Weekly

Brazil’s Growth Decelerates While Colombia and Venezuela Mend Ties

EXECUTIVE SUMMARY

In Brazil, retail sales and the economic activity indicator suggest that growth decelerated in Q2 2010. In Mexico, the latest results support our view that U.S. demand drove Mexico’s recovery in H1 2010, while domestic drivers continued to recover slowly. In Chile, the central bank raised the monetary policy rate by 50 basis points (bps) to 2% at the August 12 meeting. In Colombia, import behavior indicates that consumption rather than investment is driving the recovery in domestic demand. Meanwhile, Colombia’s President Juan Manuel Santos and his Venezuelan[...]

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