It is not clear to us at this point if it is noise in the data—loud noise, to be sure, but noise—or a fundamental decline in inflation. However, it is clear to us that we have to continue to strive and raise the inflation rate toward the midpoint of the target range. Second, the risks have intensified.
2  BIS central bankers’ speeches  The resulting volatility in global financial markets has brought about considerable increases in Mexican government bond yields. For some maturities, the upward shift in the yield curve has offset the downward shifts seen in the first four months of the year. Like other emergingmarket currencies, the peso has been depreciating against the dollar.