Peru cuts for first time in more than three years

The Central Bank of Peru cut its key interest rate a quarter point to 6.25% on Thursday. It is the central bank's first cut since July 2005.

Analysts largely expected the central bank to hold rates, but the rate-setting Board believed the lowest monthly rate of inflation since November 2007 in January warranted a cut.

"This decision is based on the fact that lower inflationary pressures have been observed in a context of lower global economic growth and a drop in the international prices of food

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