Mexico Rates to Stay Put

Goldman Sachs expects Banxico to keep its monetary policy rate unchanged at 4.5% today. Morgan Stanley agrees, saying that “despite February’s relatively high inflation reading, caused in great part by a spike in selected produce quotes, the central bank is likely to reiterate that there is no firm evidence so far of second-round effects on inflation from higher administered prices and taxes.” Annual inflation stood at 4.83% in February, according to Banxico. The target is 3.00%.