Chile Fiscal Box Surges in August; Government Vows to Cushion Fuel Price Hike

Chile's fiscal box (Other Public Treasury Assets) rose sharply in August, easing earlier concerns that the new government lacked resources. The administration now says it will mitigate the fuel price increase 'as much as possible,' signaling potential fiscal intervention to temper inflation. The move suggests a shift from prior austerity rhetoric, with market implications for Chilean bonds and the peso.