Latin America Economics

Latin America Data Response

22 March, 2019

Mexico Bi-Weekly CPI (Mar.)

Mexican inflation remained above target, at 4.0% y/y, in the first half of March and will probably stay around this rate in Q2. But we expect that the headline rate will decline during the second half of the year, paving the way for monetary loosening. We expect 75bp of interest rate cuts this year, which is more than markets are currently pricing in.

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