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Banxico's Heath Says Leaning Towards May Pause

MEXICO
  • After last week’s FX volatility, Banxico Governor said over the weekend that the central bank will continue to be cautious in its upcoming monetary policy decision. However, she noted that the recent FX weakness was reversed rapidly and she does not expect it to have an important impact on prices. Rodriguez said that the Board will focus on data in coming rate decisions, adding that services sector inflation has yet to show a clear downward trend.
  • Also over the weekend, Deputy Governor Heath said that’s he’s leaning toward a pause in May, which he said is likely to be a unanimous decision. The Board can then see how the data evolve by June, he said.
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