Surprise drop in inflation likely to trigger further interest rate cuts, experts predict

Surprise drop in inflation likely to trigger further interest rate cuts, experts predict

Mexico’s headline inflation slowed for the third consecutive fortnight, according to the national statistics agency INEGI, falling back within the central bank’s target range. Inflation declined in the first half of July, marked by lower costs for various agricultural products, such as lemons and avocados, giving rise to expectations that the central bank (Banxico) will continue to cut interest rates. Headline inflation declined more than expect…