In essence, however, these developments reflect the high degree of substitutability among bonds and equities issued by various governments and corporations across the euro area. Let me also highlight the fact that the recent financial market turbulence has not undone the process of financial integration in the euro area. True, euro area sovereign spreads vis-à-vis the German benchmark have increased substantially.
Inflation and monetary policy Since 2015, inflation in Mexico has exhibited benign behavior. In annual terms, it has converged to the 3 percent target established by the Bank of Mexico more than 10 years ago. Furthermore, and in stark contrast with previous trends, inflation has been continuously below the target.