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4/5 Members Voted For 50Bp Hike, Esquivel Dissents Again

MEXICO
  • Another Split Decision:
  • *BANXICO: 4 OF 5 MEMBERS VOTED FOR 50BP RATE INCREASE (BBG)
  • Link to the statement: https://www.banxico.org.mx/publications-and-press/...
  • The communique very similar to prior statement which is a sign of continuity and no dovish surprises with Rodriguez at the helm.
  • “Forecasts for headline and core inflation were revised upwards, especially for 2022 and the first quarter of 2023"
  • “With this action, the monetary policy stance adjusts to the trajectory required for inflation to converge to its 3% target within the forecast horizon.”
  • Forecasts for Headline and Core Inflation:

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