Mexico: Inflation hits three-year low and Banxico’s target in September
Consumer prices rose 0.26% from a month earlier in September, contrasting the 0.02% month-on-month slip logged in August. According to the Statistical Institute (INEGI), August’s reading largely reflected higher prices for food, beverages and tobacco, and education.
Inflation dipped to a three-year low of 3.0% in September (August: 3.2%), thus landing at the midpoint of Banxico’s target range of 2.0%–4.0%. Meanwhile, annual average inflation edged down to 4.1% in September from 4.3% in the previous month.
Core consumer prices, which exclude volatile food and energy prices, rose 0.30% over the previous month in September, up from August’s 0.20% increase. For its part, core inflation held steady at 3.8% for the fifth consecutive month in September.