· Inflation in Mexico slightly moderates to 4.01% annual.
· Pelosi and Mnuchin discuss plans to aid airlines to avoid layoffs; the discussion is independent from a new fiscal package.
· “There will come a time when government action will not be able to prevent increase in bankruptcies”: Agustin Carstens.
· Trump will not participate in the second presidential debate; he assures he will once again use tariffs against China as a negotiation tactic if he is reelected.
· FED will begin discussing its bond purchasing program in November, according to it September meeting minutes.
· The UK confirms it will abandon Brexit negotiations if no agreement is reached next week.
· Economic indicators: Initial jobless claims in the US are slowing down less than estimated (840k vs 820k e.).
INEGI published inflationary data for the month of September this morning, which shows a slight moderation in the increase of prices after 4 consecutive months of expansion. The Consumer Price Index increased 0.23% during September and set at 4.01% annual, a slight moderation with respect to August (4.05%). The figure set slightly below estimates. The largest contributor to growth was goods (0.42% monthly), while the underlying component (energy and agricultural goods) showed its first contraction since April (-0.04% monthly). Underlying inflation grew 0.32% and maintained itself at an annual rate of 3.99%, with the largest increases seen in clothing and footwear (0.79% monthly) and educational services (1.16%). Inflation is still within the upper part of Banxico`s target range, but at least it stabilized in September; even though data maintains expectations of not seeing anymore cuts in interest rates in Mexico – at least for the rest of 2020.