What's Next for Mexico?
Marc Chandler submits:Mexico's central bank is widely expected to remain on hold at the conclusion of today's policy making meeting. The key rate has been steady at 4.5% for nine months. Most recently Finance Minister Cordero has argued that inflation is "controlled" and year-end inflation is likely to be just over 5%. It was just below 5% in March.Cordero also suggests there is more peso appreciation to come, but at least in the near-term the market is not as convinced. There has been better two way activity in recent days as some suspect that the 7.7% appreciation of the peso since early February is a bit much. There is also some concern that Mexico's central bank may step up its dollar purchases this month.Complete Story »