Mexico Inflation Rate Hits Highest Level in 18 Months


Consumer prices in Mexico increased by 3.06 percent year-on-year in October 2016, following a 2.97 percent growth in September, but staying slightly below market expectations of a 3.10 percent gain. It was the highest inflation rate since April 2015, boosted by higher cost of food, housing and transportation.

Year-on-year, prices of food and non-alcoholic beverages rose 4.94 percent, the same as in the previous month; cost of housing and utilities advanced 1.41 percent, following a 1.36 percent gain in September; and transport prices went up 3.42 percent, after rising by 2.79 percent. Additional upward pressure came from: Health (+4.82 percent from +4.77 percent in September); restaurants and hotels (+4.36 percent from +4.45 percent); Education (+4.26 percent from +4.27 percent); miscellaneous goods and services (+3.73 percent from +3.59 percent); furnishings and household equipment (+3.61 percent from +3.56 percent); and clothing and footwear (+3.48 percent from +3.60 percent).

On a monthly basis, consumer prices rose 0.61 percent, the same as in the previous month.

The core index, which strips out some volatile food and energy prices, rose 3.10 percent from the previous year and 0.28 percent during the month.

Mexico Inflation Rate Hits Highest Level in 18 Months


INEGI | Joana Ferreira | joana.ferreira@tradingeconomics.com
11/9/2016 2:23:16 PM