Economic Climb, Interrupted

MEXICO - Report 03 Jun 2015 by Mauricio Gonzalez, Guillermo Valdes, Esteban Manteca and Ernesto Cervera
Executive SummaryWith international oil prices on the upswing, and the possibility of a U.S. slowdown looking more remote, some early-year economic risks have evaporated. Yet other risks are emerging – the biggest of them employers' deteriorating economic expectations.Two other factors we will soon analyze in more detail include the potential for an inflation pass-through effect from progressive peso weakening, and the extent to which the Ministry of Finance's slashing of 0.7%'s worth of GDP from public spending starts to drag on the economy. We didn't see any effects from this latter move ...

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