MEXICO CITY – Mexican bonds fell Monday ahead of inflation data that could support views that the central bank may further raise interest rates in the coming months, while stocks and the peso slipped.

The benchmark government 10-year peso bond fell 0.604 of a point to bid 92.373, pushing its yield up 10 basis points to 8.95 percent.

The peso weakened 0.24 percent to 10.2992 per dollar, slipping in light trading from a five-year high.

The benchmark IPC stock index dipped 0.45 percent to 29,400 points, as losses at retailer Wal-Mart de Mexico were offset by a jump in brewer Femsa amid speculation of consolidation in the global beer business.

Mexico's central bank raised borrowing costs for the first time in eight months Friday, pushing the overnight interest rate up by 25 basis points to 7.75 percent. The bank warned that inflation could accelerate beyond its forecast in the coming months.

Inflation data for the first half of June is due on Tuesday, and traders said the report will be key for deciding whether the central bank's move was an isolated, preemptive hike in interest rates, or the beginning of a tightening cycle.

“The markets are nervous that inflation will come out high tomorrow, which could push the market to think there will be more upward pressures on rates,” said one bond trader in Mexico City.

The peso lost ground amid global nervousness about banks and other stocks following a Goldman Sachs recommendation to sell companies in the financial and consumer discretionary sectors due to economic concerns.

But traders said last Friday's rate hike put a floor under the peso by further widening the spread between benchmark U.S. and Mexican interest rates to 5.75 percentage points, which makes peso-denominated assets more attractive to investors.

In stock trading, shares of Wal-Mart de Mexico lost 1.41 percent to 40.46 pesos.

Cemex, the biggest cement supplier to the United States, shed 1.22 percent to 24.35 pesos while its New York traded stock lost 1.55 percent to $23.55.

Amid gainers, shares of Femsa, Latin America's largest bottle and brewer, jumped 4.40 percent to 44.65 pesos while its New York stock added 4.06 percent to $43.27. A Barron's report Sunday said a successful takeover of Anheuser-Busch Cos Inc by InBev NV could bring about a new era of beer industry consolidation and that Femsa could be the next merger target by a company like Dutch brewer Heineken NV.

(Reporting by Michael O'Boyle; Editing by Leslie Adler)