Chile’s Risk Premium Jumps as Kast’s Austerity Hits Reality

Key Points — Chile’s five-year credit default swaps rose 14 basis points to 53 from a seven-year low of 39 in early February, as a wider-than-expected fiscal deficit (2.8% of GDP), a surprise economic contraction in January, and surging oil prices eroded the post-election optimism around President-elect José Antonio Kast. — Kast’s pledge to cut […]

Chile’s Risk Premium Jumps as Kast’s Austerity Hits Reality
Key Points — Chile’s five-year credit default swaps rose 14 basis points to 53 from a seven-year low of 39 in early February, as a wider-than-expected fiscal deficit (2.8% of GDP), a surprise economic contraction in January, and surging oil prices eroded the post-election optimism around President-elect José Antonio Kast. — Kast’s pledge to cut […]