J.P. Morgan Stressed that the Exit of the Stocks: "It Did Not Involve Inflationary Costs"

The US bank stressed that the lifting of individual capital controls has not produced "significant inflationary costs." In turn, it stressed that April's CPI has been placed below March's.

J.P. Morgan stressed that the departure from the stocks was successfully carried out, given that the transition to a regime of exchange bands and the elimination of the 1%-per-month “crawling peg” did not imply significant inflationary costs. “In general terms, the unification of the exchange rate, the elimination of the 1%-pecking and the transition to bands, as well as the lifting of capital controls for individuals – what we have called Cross…

The U.S. bank considered that the shift to the new exchange rate scheme did not generate “significant inflationary costs.” It also valued the elimination of “crawling peg” and the unification of the exchange rate. In its latest report, J.P. Morgan assessed that “unification of the exchange rate, elimination of the 1% crawling peg, and banding, as well as lifting capital controls for individuals did not imply significant inflationary costs.”