MNI BRIEF: China Visitor Mobile Payments Surge in H1

MNI China Daily Summary: Friday, July 26

MNI BRIEF: Foreign Firms Content In China

MNI BRIEF: Turkish Inflation Expectations Steady- TEBA

MNI China Press Digest July 26: Deposit Rates, Fiscal, PBOC

MNI: PBOC Net Injects CNY299.05 Bln via OMO Fri

MNI: BAKER HUGHES US RIG COUNT 589; OIL RIGS 482; GAS RIGS 101

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT FINAL JUL INDEX 66.4

EZ/UK Bond Supply Calendar: BoE Short APF Operation on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

JPMorgan: Banxico Minutes To Strike Hawkish Tone Amid Fast Inflation

MEXICO
  • JPMorgan expect a hawkish tone in the Banxico minutes on Thursday as building inflation concerns are exacerbated by the start of policy normalization by the Fed.
  • Broadly speaking, JPMorgan expect the minutes to show that Banxico should at least maintain its 50bp hiking pace in May, and given the evolution of short-term risks it could deliver an additional 50bp in June—alongside the Fed—before shifting back to 25bp increases.
  • JPM continue to expect year-end policy rate at 8.25%, with some upside risk. Speaking to building inflation pressures, we expect March inflation to be strong, with core maintaining its rapid 0.6% monthly rate, and the 3m/3m rate at 8%ar, the highest in at least two decades.
  • Growing signs of inflation becoming inertial underpin their call for year-end inflation to hit 7.2%oya, much higher than Banxico forecasts.
  • JPM revised their growth forecast for the year higher to 1.9%y/y from 1.5% on the back of what they expect to be a much stronger 1Q (6%ar from 3.5%), even if they trimmed 2Q-4Q on growing global risks.
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.