Mexico: Inflation comes in at highest level since December 2024 in April
Latest reading: Inflation inched up to 3.9% in April from March’s 3.8%. April’s result was the highest inflation rate since December 2024, but stayed in line with market expectations and the Central Bank’s 2.0%–4.0% target range. Looking at the details of the release, the change in prices for food, beverages and tobacco grew at a slower rate in April, while prices for housing rose at a quicker rate.
Annual average inflation fell to 4.4% in April (March: 4.5%). Meanwhile, core inflation rose to 3.9% in April from March’s 3.6%.
Lastly, consumer prices increased 0.33% in April over the previous month, picking up from March’s 0.31% rise. April’s result was the highest reading since December 2024.
Panelist insight: On the implications for monetary policy, Goldman Sachs’ Alberto Ramos said:
“Overall, the recent inflation figures support the continuation of the monetary policy rate normalization cycle but also show that the battle to drive inflation to the target is far from over, and high core inflation readings point to the need to be cautious in the near-term calibration of policy rate moves.”