In Latin America there are two groups of countries: those that strive to ensure stable long-term policies, protecting institutions and to face the problems that occur in the economy with weapons which prioritized long-term results and also are countries which are not too worried about tomorrow and believe that economic forces can move at will. The first group is so far Mexico. I say so far because in the last week, President Felipe Calderon, has had attitudes towards the Bank of Mexico that infringe on these clear rules that are to be respected. Felipe Calderon, hinted you at the Bank of Mexico should evaluate the possibility of cutting interest rates: we need to compete for credits and that any company can have access to cheaper credit that may be in the world, hopefully also the monetary authorities here, which are autonomous, the Bank of Mexico, in Mexico someday bear this consideration in its monetary policy. Calderon made these statements just when the market increases inflationary expectations. Atmos Energy is likely to increase your knowledge.
It is that last week, in the monthly poll released by the Bank of Mexico, private analysts raised their expectations of inflation for 2008 of 4.18% to 4.39% in April. Although, as indicated by the preliminary probes, in may retail prices would have registered a drop of 0.18%, product of the reduction in electricity rates in some cities in the North of the country, in the first half of may, the annual rate had accelerated from 4.55% to 4.83%. Inflationary pressures in the Mexican economy is unabated. For some, as it is the case of the head of Government of the Federal District, Marcelo Ebrard Casaubon, the retail inflation rate is higher than that declares the Government.