Inflation rate affecting Mexican shoppers along the border
Consumers might be paying more on nearly everything, but that's not keeping people out of Valley stores.
For Mexican visitors crossing from Reynosa to Hidalgo, prices in the U.S. aren't like they used to be nearly two years ago.
Jenny Morales, an employee at a home goods store, says she's having trouble restocking the shelves. Morales says because of the pandemic, it’s taking longer to get products and it’s become more expensive. They've also had to raise prices in the store.
The Mexican peso has weakened against the U.S. dollar and some economists say the pandemic has also impacted the pockets of Mexican shoppers.
"That's primarily related to the uncertainty associated with the current infection rates and fatality rates associated with the delta variant and the omicron variant," said Thomas Fullerton, an economics professor at UTEP.
On Friday, new numbers released by the feds show the inflation rate in the U.S. went up nearly seven percent in 2021. That's the highest increase in a 12-month period since 1980.
Some economists add not everything is grim for Valley businesses; if it weren't for the pent-up demand from foreign shoppers due to the border closure, sales now would be much less.
The economist predicts that while more people get vaccinated on both sides of the border, that could actually help in part with the supply chain issues.
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