Chile’s central bank slashed its key interest rate by a larger-than-expected 100 basis points, spearheading Latin America’s shift toward looser monetary policy and signaling more big reductions to come. Board members led by Rosanna Costa voted unanimously to reduce borrowing costs to 10.25% on Friday, as expected by only four of 26 analysts in a Bloomberg survey. All others foresaw a cut of either 50 or 75 basis points. In a statement, policymakers wrote that rates were set to fall more than forecast in the short-term, as anticipated by the market. The most recent traders survey, conducted by the bank, put the key ... (full story)