October unemployment rate in  Mexico edged up to 4.37% sa. An increase in seasonally adjusted participation  rate by 63bp led to this upward surprise. On year on year basis, it has fallen 22bp, to 4.55% from 4.78% in October 2014. 

"The report suggests that the labor market might be improving; however, the new entrants in the labor market are maintaining a persistent level of slack, which will likely continue in the coming months. In that sense, we expect wages to remain growing at a modest pace, close to 4.2% y/y in nominal terms", says Barclays in a research note.

The report also supports Banxico to be on hold in its December meeting, even if the mostly anticipated Fed hike happens. Banxico hiking under low inflation environment and stalled unemployment is anyways hard to believe, since financial markets remain relatively stable.