- Bank of Mexico (Banxico) forecasts average annual headline inflation in Q4 2024 at 4.0% from prior estimate of 3.5%
- Bank of Mexico forecasts average annual core inflation in Q4 2024 at 3.8% from prior estimate of 3.5%
- Bank of Mexico forecasts average annual headline inflation in Q4 2025 at 3.0% from prior estimate of 3.1%
- Bank of Mexico forecasts average annual core inflation in Q4 2025 at 3.0% from prior estimate of 3.1%
- Bank of Mexico forecasts annual GDP growth in 2024 at 2.4% from prior estimate of 2.8%
- Bank of Mexico forecasts annual GDP growth in 2025 at 1.5% from prior estimate of 1.5%
- Headline inflation seen converging to 3% target in Q4 2025
- Although Mexican economy is expected to resume higher growth rate in the coming quarters, it is necessary to strengthen the foundations to promote greater long-term growth in a sustainable manner
- Board will closely monitor the inflationary pressures, as well as all the factors that affect the expected trajectory of inflation and expectations
- Board will evaluate inflationary outlook to discuss adjustments in the reference rate
- Bank of Mexico raises forecast for 2024 inflation
- Although the inflationary outlook continues being complex and uncertain, it is expected that in the coming quarters the disinflationary process in Mexico will keep advancing
- Risks to growth of economic activity remain balanced
Looking at the USDMXN, the price today moved back above the 100-day MA at 16.8939. That is the first break above since May 10. Closing above today would be the first since May 3.
This article was written by Greg Michalowski at www.forexlive.com. Source