Colombia Expected to Hold Rates

Colombia’s central bank is largely expected to hold rates today at 4.75%. Barclays anticipating a hold in rates for the rest of the year after two 25bp cuts. “The stronger-than-expected GDP growth in Q2 supports our call that Banrep will keep rates unchanged for the rest of the year,” it says. Citi also forecasts a hold, though notes that economic deceleration could mean more changes are yet to come, saying “we do not think that in terms of rates we have reached the bottom of the monetary policy easing cycle yet.”