Mexico: Inflation decelerates in May from April
Latest reading: Consumer prices were up 3.9% on a year-on-year basis in May, following a 4.4% rise in the previous month. The reading was below market expectations and within the Central Bank’s 2.0%–4.0% target range.
Relative to the prior month’s data, there were reduced price pressures for food, beverages and tobacco (+4.3% in annual terms vs +6.3% in April) and education and recreation (+3.3% vs +3.4% in April). In contrast, there were higher price pressures for housing (+3.1% vs +3.0% in April), transportation (+3.5% vs +3.2% in April) and clothing, footwear and accessories (+2.8% vs +2.7% in April).
Meanwhile, core consumer prices increased 4.2% in annual terms in May, following a 4.3% rise in the previous month.
Finally, consumer prices were down 0.21% in May on a month-on-month basis, following a 0.20% increase in the prior month.