He Mexico's Consumer Price Index (CPI) has risen 0.29% in the monthly reading for March after increasing 0.09% in February, as published by the National Institute of Statistics and Geography (INEGI). The increase is less than the 0.36% expected by the market.
On an annual basis, inflation has increased to 4.42% from the previous 4.40%, improving the consensus expectation, which placed it at 4.5%.
economic indicator
12 month inflation
The inflation indicator published by the Bank of Mexico captures price movements over the last 12 months. Generally, a high reading is bullish for the Mexican peso, while a lower reading is bearish.
Last post: Tue Apr 09, 2024 12:00
Frequency: Monthly
Current: 4.42%
Dear: 4.5%
Previous: 4.4%
Fountain: National Institute of Statistics and Geography of Mexico
The core CPI (which excludes food and energy) has grown by 0.44% monthly, below the 0.49% of the previous month and the 0.51% expected by experts. The annual rate has stood at 4.55%.
Mexican peso reaction
The Mexican Peso has lost ground following the news, causing a rise in USD/MXN to 16.32 from the 16.30 area. Previously, the pair began Tuesday with a drop to 16.26, a new low in almost nine years. At the time of writing, the pair is trading above 16.32, gaining a slight 0.04% on the day.
The Mexican peso could weaken in the coming hours, as the improvement in inflation compared to market forecasts may lead Banxico to continue with the rate cuts started in the March meeting.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
