Mexico’s consumer prices rose 0.65% in October, lifting annual inflation to 3.75% from 3.45% in September, the national statistics institute Inegi said Monday. The monthly increase exceeded the 0.55% forecast in a Wall Street Journal survey of analysts, as energy, services and fresh food prices climbed.
By Money Talk·November 9, 2026·2 min read·840 reads
Energy costs increased 3.49% during the month. Electricity rates jumped 18.5% as summertime subsidies ended in a number of cities, while domestic propane gas rose 3.67%. Prices for fresh fruit and vegetables increased 2.35%.
Core inflation, which excludes energy and perishable food, rose 0.34% in October and 3.8% from a year earlier, up from an annual rate of 3.75% in September. Analysts had expected a 0.32% monthly increase. Core goods prices rose 0.22%, while services prices advanced 0.44%; airfares climbed 26.4% and tourism packages rose 8.72%.
The Bank of Mexico cut its benchmark interest rate by a quarter of a percentage point last week to 6.25%, in a split 3-2 vote. It described the move as a one-time adjustment and said it expected to hold the rate at that level for a prolonged period while seeking to bring inflation to its 3% target.
“Forecasting what the central bank will make of this data is tricky given the clear dovish bias on the board,” William Jackson, Capital Economics’ chief emerging markets economist, said in a note. “But at the very least, it seems highly unlikely that Banxico will break its forward guidance and opt for more interest-rate cuts.”
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