BCCh likely on hold as downside risk to growth balanced by upside risks to inflation

The BCCh paused in November 2014 after having reduced the overnight rate by a total of 200bp to 3.0% since October 2013. 

The central bank's recent statements have been neutral, reflecting the environment of low growth and the uncertain external situation (which is one of the factors keeping the peso under pressure and inflation moderately higher).
While the December and January growth numbers and the high wage growth provide enough justification for the BCCh to stay on hold in the near term, the composition of Q4 growth suggests that things are yet to improve meaningfully - adding to the downside risk to rates. 
However, the bank likely realises that further easing could be futile, as a substantial part of the growth deterioration is probably structural (vs cyclical). 

Societe Generale says....

We are comfortable with our call for no additional monetary easing. 

While the possibility of further deterioration in the growth outlook is the key downside risk to our view, we see this risk as being offset by the possibility of higher-than-expected inflation and the potential impact of the impending Fed tightening.