Puerto Vallarta (PVDN) – Inflation in Mexico slowed for the second consecutive month and in March stood at 6.85 percent annually, its lowest level in 17 months, according to data published by the National Institute of Statistics and Geography (INEGI).
The decline in inflation was better than expected by the market, whose estimate was 6.89 percent annually, according to the most recent Citibanamex survey.
Compared to February, the National Consumer Price Index (INPC) rose of 0.27 percent, the lowest in 10 months; the market estimate was 0.31 percent per month.
Although inflation has shown signs of slowing down, it is still outside the target range of the Bank of Mexico (Banxico) which is 3 percent +/- one percentage point, which it has been above for 25 months,
“The data brings a sigh of relief to Banxico, confirming that inflationary pressure is now steadily easing. Headline inflation is at its lowest level since October 2021 and we expect the downward trend to continue in the coming quarters,” Andrés Abadia, chief economist at Pantheon Macroeconomics, wrote in a memo.
In subjacent inflation, a deceleration was also observed for the second consecutive month at 8.09 annual percent in March, being its lowest level in seven months; however, it was above the forecast of 8.06 percent.
In monthly terms, it showed a decline of 0.52 percent, the lowest in four months, and above the 0.50 percent that analysts anticipated.
“The two inflations (general and subjacent) are going to continue falling in the rest of the year, more due to the comparison base effect, which is good, but at the rate that the subjacent price increases move (0.5%) up to now, it will take inflation to 6% at the end of the year, twice the target of 3%”, the director for Latin America at Moody’s Analytics, Alfredo Coutiño, wrote on Twitter.
However, the pressures in the service sector persist, which had a monthly increase of 0.62 percent, the highest variation in 15 months, and at an annual rate of 5.71 percent, a level not seen since February 2003.
While in merchandise, they slowed down for the second month in a row and registered a monthly slowdown of 0.45 percent, and at an annual rate it was located at 10.12 percent, its lowest rate in eight months
Meanwhile, the non-core component fell 0.50 percent monthly and settled at 3.27 percent annually in March, the lowest in 26 months.
The prices of agricultural products fell 0.67 percent, their biggest decrease in 27 months, and those of energy and tariffs authorized by the government fell 0.36 percent monthly, after two months on the rise.
Among the products with the biggest drop in prices during March, compared to February, domestic LP gas, with a 4.16 percent decline; tomato, 6.87 percent decline, and nopales, 21.33 percent decline.
The prices of products that had the greatest increase were air transport, with 25.99 percent; lemon, 26.73 percent, and home prices, 0.32 percent.
Trending News on PVDN
The Connection Between the Jalisco Cartel, Missing Employees at Call Center, 45 Bags of Body Parts, Timeshare Scams, and American Tourists PUERTO VALLARTA (PVDN) - More than a week after the initial disappearance of eight young workers at a call center in Zapopan, Jalisco, the case continues to be shrouded in mystery, leaving families distraught and demanding answers. The Jalisco Prosecutor's Office has made little progress in the investigation, according to the relatives of the missing…
Shocking Case of Animal Abuse in Mexico: Man Throws Dog into Boiling Fry Oil PUERTO VALLARTA (PVDN) - A disturbing incident of animal abuse has sent shockwaves throughout Mexico, as a man allegedly threw a dog into a pot of boiling oil, resulting in the animal's tragic death. Authorities have detained the suspect for the assault on the dog and have issued an additional arrest warrant on charges of…
Thrill-Seeking Tourist in Puerto Vallarta is Rescued After Parachute Accident on Los Muertos Beach Puerto Vallarta (PVDN) - A woman was rescued after her parachute got entangled in a palm tree on the popular Los Muertos Beach in an incident that highlighted a growing concern over the lack of regulation in tourist activities in Puerto Vallarta. The incident unfolded during one of the city's burgeoning recreational pursuits frequently indulged…
Popocatépetl Volcano Activity Continues; June 5, 2023 Monitoring Update PUERTO VALLARTA (PVDN) - In the latest updates from the monitoring systems of the Popocatépetl volcano, 108 exhalations were recorded in the last 24 hours, accompanied by water vapor, volcanic gases, and minor quantities of ash. The monitoring systems also registered 51 minutes of tremor segments, ranging from low to moderate amplitude and high frequency.…
It’s Getting a Little More Expensive for Americans Living in Mexico, Peso Surges to Over Seven-Year High Puerto Vallarta (PVDN) - The Mexican peso reached its highest level in more than seven years on Friday, June 2, driven by positive employment data from the United States. The country's stock market also experienced a notable rise as fears of a recession in the US diminished. At the close of trading, the peso was…
Buried Body Found Near Home of Man Who Went Missing at Puerto Vallarta Pride PUERTO VALLARTA - This Monday morning, a gruesome discovery of a half-buried body was made on a property located adjacent to the home of Ruben Michel, a young man who has been missing since May 25. Michel, a deaf-mute member of the LGBTQ+ community, vanished following the Vallarta Pride event. Municipal Police were alerted to…
Volaris Maintains Regular Operations in Puerto Vallarta Despite Strike Threat PUERTO VALLARTA - Amid threats of a work stoppage by Volaris employees early this Monday, operations at the Puerto Vallarta International Airport have continued as usual, as reported by the Grupo Aeroportuario del Pacífico (GAP). According to official statements from the airline, as of 9:00 a.m. on Monday, June 5, Volaris has operated 77 flights…
Popocatépetl Volcano Exhibits Increased Activity; Yellow Phase 3 Alert Continues PUERTO VALLARTA (PVDN) - In the past 24 hours, heightened activity was recorded from Mexico's Popocatépetl volcano, with an alarming 315 exhalations detected, accompanied by water vapor, other volcanic gases, and ash, according to the Scientific Advisory Committee (CCA) of the National Civil Protection System (SINAPROC). Monitoring systems in place around the active stratovolcano also…
Puerto Vallarta Celebrates 105 Years as Municipality, 55 as City with Grand Anniversary Celebration PUERTO VALLARTA (PVDN) - Puerto Vallarta, one of the nation's favorite tourist destinations, celebrated the 105th anniversary of its elevation to a municipality and its 55th year as a city with a solemn session held in the central courtyard of the city's presidency. Presiding over the commemorative event was Mayor, Professor Luis Alberto Michel Rodríguez,…
Mother Pleads for Expedited Investigation into Disappearance of Son Following Vallarta Pride Celebration PUERTO VALLARTA (PVDN) – One week after the disappearance of 32-year-old Michel Rubén Castro Guizar, who attended the Vallarta Pride celebration in Puerto Vallarta, his mother Bacilia Guizar pleads with authorities to accelerate the investigation and search efforts. In an emotional press conference outside her house at 114 March 18th Street, October 12th neighborhood, Guizar…
