(Adds detail on price rise, context)
MEXICO CITY, Nov 7 (Reuters) - Mexico’s annual inflation rate rose in October to a 9-month high, further above the central bank’s 4 percent ceiling, but the rise is expected to be brief.
Inflation in the 12 months through October rose to 4.3 percent, the national statistics agency said on Friday, its highest level since January, when a tax hike fanned price hikes.
The figure was above the 4.22 percent rate reached in September and matched the 4.30 percent expected in a Reuters poll.
Mexico’s central bank kept interest rates on hold last month and argued that a recent spike in inflation would quickly fade next year.
Mexico targets a 3 percent inflation rate, plus or minus one percentage point. The central bank is expected to hold borrowing costs steady until around the middle of next year, when the U.S. Federal Reserve is seen raising its main rate.
Consumer prices rose 0.55 percent in October from September, compared with estimates of a 0.56 increase, fueled by an increase in electricity, onion and beef prices.
Core inflation, which strips out some volatile food and energy costs, increased 0.17 percent, compared with a 0.18 percent rate forecast in the Reuters poll. Weaker-than-expected economic growth early this year has helped contain core price pressures. (Reporting By Alexandra Alper Editing by W simon)