February 12, 2015
02/12/05 Wall Street Journal
The Bank of Mexico’s five board members voted unanimously last month to keep interest rates unchanged, a day before the government unveiled a series of budget cuts to address the drop in oil prices and expectations of more difficult financing conditions ahead.
The central bank, led by Agustin Carstens, left the overnight lending rate target at 3% for a fifth consecutive meeting Jan. 29.
January 22, 2015
Mexican consumer prices unexpectedly fell in the first half of January, pushing the annual inflation rate to the lowest in almost four years. Prices dropped 0.19 percent, the national statistics institute said on its website, compared with analyst forecasts that ranged from an increase of 0.09 percent to 0.49 percent. The annual inflation rate tumbled to 3.08 percent from 3.97 percent in the second half of December. Banco de Mexicotargets inflation of 3 percent, plus or minus one percentage point. Central bank Governor Agustin Carstens this month forecast inflation will be near 3 percent by the middle of the year, aided by the end of connection fees for long distance telephone calls, smaller gasoline price increases and an economy growing below potential. The peso strengthened 0.3 percent to 14.7128 per U.S. dollar at 8:07 a.m. in Mexico City.
October 1, 2014
Mexico’s central bank has done a “good job” in helping guide the economy and the inflation rate will probably near its 3 percent target toward the middle of next year, Governor Agustin Carstens said. A change in the way gasoline prices are fixed will help curb the rise in broader consumer costs, Carstens said in an interview with El Financiero-Bloomberg TV, according to a transcript. Favorable comparisons with inflation this year, when the nation implemented a tax increase, will also help lower the annual rate starting in January, he said. Stable inflation expectations have allowed policy makers to lower interest rates to boost the economy in the absence of pressures on core inflation, which excludes farm and energy costs, Carstens said. Policy makers cut borrowing costs 1.5 percentage points in a 15-month period to 3 percent, the lowest in Latin America, to revive an economy that struggled to bounce back from its weakest expansion since 2009.
September 25, 2014
Mexican consumer prices rose more than expected in the first half of September, keeping the annual inflation rate above the upper limit of the central bank’s target range. Prices increased 0.32 percent from two weeks earlier, the national statistics institute said on its website today, compared with the 0.25 percent median forecast of 24 economists surveyed by Bloomberg. The annual inflation rate was 4.21 percent, above the 2 percent to 4 percent target range.
August 22, 2014
Mexican consumer prices rose more than analysts expected in the first half of August, keeping the annual inflation rate above the upper limit of the central bank’s target range.
Prices increased 0.19 percent in the two weeks, the national statistics institute said on its website today, compared with the 0.16 percent median forecast of 20 economists surveyed by Bloomberg. While the annual inflation rate fell to 4.07 percent, it remains above the 2 percent to 4 percent target range.
July 9, 2014
Mexico’s annual inflation rate ticked up in June but remained below the central bank’s ceiling, boosting bets that policymakers will leave rates at an all-time low to support tepid growth in Latin America’s No. 2 economy.
Inflation in the 12 months through June was 3.75 percent, the national statistics institute said on Wednesday, below expectations of 3.78 percent in a Reuters poll and above the 3.51 percent annual rate registered in May.
June 10, 2014
Mexican consumer prices fell less than expected in May as costs for some farm products increased, the statistics agency reported, three days after the central bank unexpectedly cut interest rates.
Prices fell 0.32 percent in the month, less than the 0.36 percent median forecast of 18 economists surveyed by Bloomberg. The drop was still the biggest in a year. Annual inflation was 3.51 percent, compared with 3.50 percent in April, and remained below the 4 percent upper limit of the bank’s target range.