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Country Focus

Mexico: Disinflation Delay Doesn’t Derail the Long Bonds Trade

by Juan Egana, Latin America Strategist  

Hot May inflation should not derail Banxico’s easing cycle; we remain long Mexican local bonds. Headline inflation accelerated to 4.4% y/y from 3.9%, above expectations, while core inflation was roughly flat at 4.1% from 3.9%. The upside surprise was driven…

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