The three internal factors that one of the members of the Governing Board sees are:
1. The housewhich faces supply pressures accumulated for several years.
2. The serviceswhich have been affected by the normalization of consumption patterns.
3. The labor marketwhich has tight conditions and relevant salary dynamics in times of high inflation.
“Housing inflation continues to be affected by the high inflation figures of last year, since this component is very sensitive to the observed inflation readings and tends to reflect them with a lag”, highlighted one of the members.
The minutes, which show in detail the analysis that Banxico makes to make its monetary policy decision, also highlight that although the prices of services showed a drop in the first half of May, this also responds to a seasonal effect of tourist services for the Easter holidays.