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MEXICO CITY, Oct 8 (Reuters) - Mexico’s annual inflation rate set a new record low in September, pointing to little pressure on consumer prices despite a sharp slump in the peso this year in Latin America’s second-largest economy.
Inflation in the 12 months through September cooled to 2.52 percent, the national statistics agency said on Thursday, below the 2.59 percent rate in August and the 2.57 percent forecast in a Reuters poll.
Weak growth in Mexico has helped tame inflation, which hit a series of record lows, well beneath the central bank’s 3 percent target.
However, the central bank is still expected to raise interest rates when U.S. borrowing costs move higher, in order to try to prevent the peso’s depreciation from deepening and driving up consumer prices.
In September, consumer prices rose 0.37 percent from August, below the poll’s expectations for an advance of 0.42 percent.
The core price index, which strips out volatile food and energy prices, rose 0.37 percent. That compared with expectations for a 0.36 percent rise.
The 12-month core inflation rate was 2.38 percent in September, in line with analysts’ forecasts. (Reporting by Alexandra Alper; Editing by Lisa Von Ahn)