Chilean deputy points to US inflation as biggest risk

Joaquín Vial
Joaquín Vial

The biggest risk facing emerging market economies is that US inflation rises faster than expected, according to Joaquín Vial, deputy governor of the Central Bank of Chile. Such a development would force the Federal Reserve to increase the pace and scale of interest rate rises that could, in turn, trigger sharp portfolio outflows from underdeveloped nations,

Vial told delegates attending National Asset and Liability Management Americas in Santiago on May 24 that the world economy is going

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