MEXICO CITY: Mexican annual inflation likely accelerated in February due to an increase in prices of energy and some goods but probably stayed within the central bank's target range, a Reuters poll showed on Monday.

The median forecast of 14 analysts was that inflation advanced in February to 3.72% from 3.54% in January.

The Bank of Mexico targets a rate of 3% with a one percentage point tolerance threshold above and below that.

Last month the central bank cut its benchmark interest rate by 25 basis points to 4% as Mexico recovers from a severe economic slump triggered by the coronavirus pandemic.

Compared with February, consumer prices were expected to have risen by 0.59%, the survey showed. Core prices, which strip out some volatile items, were seen climbing by 0.38%. The core rate of annual inflation was seen at 3.84% in February.

Mexico's national statistics office will publish the latest inflation figures on Tuesday morning.