The national flag flutters atop the Bank of Mexico building in downtown Mexico City January 23, 2015. REUTERS/Edgard Garrido
Mexico’s central bank kept its key interest rate unchanged, saying that a half point increase in borrowing costs in June is helping to curb inflation risks, Bloomberg News reported.
Banco de Mexico led by Governor Agustin Carstens held its overnight rate at 4.25 percent Thursday Aug. 11, a move predicted by all but one of 28 economists surveyed by Bloomberg. One analyst had forecast a 50 basis-point increase. Thursday’s decision follows the rate hike on June 30 that came amid market turmoil over the U.K.’s vote to leave the European Union.
Since then, Mexico’s currency has recovered from its plunge to record lows triggered by the Brexit vote, while consumer price increases have remained below the central bank’s 3 percent target for the past 15 months. Mexico took bold steps to prevent the peso’s weakness from quickening inflation, including surprising markets with a half-point rate hike in February at an unscheduled meeting. Now Banxico says that inflation risks are neutral, while the economic growth outlook has deteriorated.
To read complete article click here:
Source: bloomberg.com
Comments
more recommended stories
Mérida and San Francisco outline projects to multiply the areas of opportunity“As a Municipality, we work in.
On the issue of the Cuban doctors in Mexico, AMLO literally said: “Conservatives go to hell!”Andrés Manuel López Obrador, president of.
Yucatan and Campeche, the states with the highest honey production in MexicoWithin the framework of World Bee.
Is Yucatan ‘running out’ of priests?“In Yucatan there are around 150.
AMLO meets privately with the owner of CalicaPresident Andrés Manuel López Obrador held.
Playa del Carmen “suffers” the massive arrival of sargassumThe massive arrival of sargassum on.
IPN student reported missing in Mexico CityMexico City authorities have searched for.
Tropical waves and possible hurricanes are approaching Mexican territory (CONAGUA)Significant rains are forecast over the.
Owner of a school in Monterrey arrested for placing video cameras in the girls’ bathroomA 73-year-old man who owns a.
Massacre in Celaya hotel leaves 11 dead and four injured; GuanajuatoEleven people dead and at least.
Leave a Comment