Mexico nominal wages rose at a faster pace than consumer price increases for a fourth month in February, presenting an upside risk to the inflation outlook in Latin America’s second-biggest economy. Government data published Friday showed an 8.4% rise in wages last month from a year earlier, well above the 7.62% year-on-year rise in February consumer prices. Economists in a Citibanamex survey published this week now see year-end inflation at 5.30%, up from a forecast of 5.02% in early January. T
(Bloomberg) — Mexico nominal wages rose at a faster pace than consumer price increases for a fourth month in February, presenting an upside risk to the inflation outlook in Latin America’s second-biggest economy. Government data published Friday showed an 8.4% rise in wages last month from a year earlier, well above the 7.62% year-on-year rise in February consumer prices. Economists in a Citibanamex survey published this week now see year-end inflation at 5.30%, up from a forecast of 5.02% in early January. The same survey shows analysts since late December have increased their 2023 forecast for the central bank’s key rate — currently at 11% — to 11.5% from 10.25%.
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