Inflation in Mexico remains high in early April

© . FILE PHOTO: The logo of the Central Bank of Mexico (Banco de Mexico) is seen on its building in downtown Mexico City, Mexico, Feb. 28, 2019. REUTERS/Daniel Becerril MEXICO CITY () – Mexican inflation is during the first half of April, but remained well above the central bank’s target, a poll showed on Wednesday, bolstering bets that the monetary authority will continue to raise interest rates. The median forecast of 10 analysts surveyed was that inflation would reach 7.60%, just below 7.62% in the second half of March. Core inflation, which excludes some volatile food and energy products, rose to 7.06%, the highest level since January 2001. The Bank of Mexico, which targets inflation of 3%, with a tolerance range of one percentage point above that and below, the benchmark rate has increased 250 basis points to 6.50% in the last seven monetary policy meetings. The next decision is scheduled for May 12. Analysts have predicted that borrowing rates could end the year at 8%, according to the central bank’s latest monthly poll. Compared to the previous two weeks, Mexican consumer prices are expected to rise 0.07%, while core prices are up 0.34%, the poll shows. Mexico’s National Statistical Office will release consumer price indices for the first 15 days of April on Friday.

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