Starting to Heat Up South of the Border

Yesterday, Mexican industrial production slid by 7.3% year-over-year in August, worse than the expected 6.2% decline and the previous drop of 6.5%. And in a sign that companies aren’t yet ready to apply capital in this economy, gross fixed investment plunged by more than 14% in July when estimates were calling for a drop of 11-12%.

Friday, Mexico’s central bank wraps up a meeting on monetary policy. They’re expected to sit tight with rates at 4.5%. What’s on their minds?