PREVIEW-Chile March industry slump expected after quake

WHAT: Chile industrial output (CLIP=ECI: ) for March

WHEN: Wednesday, April 28 at 9 a.m. local time (1300 GMT)

REUTERS FORECAST: Median fall 8.7 percent. Eight analysts
participated in the survey, with estimates ranging from a fall
of 2.5 percent to a fall of 15 percent.

Chile’s main industrial association Sofofa on Tuesday,
however, said output slumped 19.4 percent in March from a year
earlier thanks to an earthquake that has made forecasting
difficult.

FACTORS TO WATCH: Analysts are expecting a poor reading
after the massive Feb. 27 quake hammered the wood pulp, fruit,
fishing and wine sectors and briefly disrupted electricity
supplies to other industries.

The central bank says quake damage has made data collection
difficult in affected areas, and that indicator readings will
be “complex”. However, the market sees the negative impact from
the quake as transitory, and sees a strong recovery thanks to
reconstruction.

MARKET IMPACT: Markets are generally primed for a bad
number and traders say it would likely take a worse forecast
than the Sofofa number — the worst reading in 28 years — to
weaken the peso against the dollar. [ID:nN27256098]

Investors are waiting for first quarter corporate earnings
for signs of the impact on shares.

For Chile’s statistics agency Web site for IP data, please
see: http://www.ine.cl

For all Chile economic data, please double-click:
(ECONALLCL: ).

For today’s data, please double-click: (ECONCL: )

Stock Market Today

(Reporting by Maria Jose Latorre; editing by Patrick Graham)

PREVIEW-Chile March industry slump expected after quake