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40 Minute Banxico Call, USDMXN Towards Recent Lows around 20.85

MEXICO
  • MNI Preview – December 16 - 1900GMT/1400ET
  • Analysts are divided on whether Banxico will continue their gradual tightening cycle or whether they will accelerate the hiking pace to 50bps at the December meeting.
  • Given the persistent upward trajectory of inflation readings and the associated pressure on inflation expectations, the likelihood of some board members voting for bolder action has certainly increased.
  • In Governor Díaz de León’s final meeting before Ms. Victoria Rodriguez takes the helm in January, his vote may prove pivotal in the decision.
    • The full preview with analyst views can be found here:

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