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MNI BANXICO WATCH: More Cuts Coming While Core Inflation Falls

The Central Bank of Mexico reduced its overnight interbank interest rate Thursday by 25 basis points to 10.25%.

MNI (BRASILIA) - The Central Bank of Mexico once again indicated its monetary easing cycle will continue at upcoming meetings after lowering the overnight interbank interest rate by 25 basis points to 10.25% Thursday, noting that core inflation shows improvement.

"Looking ahead, the Board expects that the inflationary environment will allow further reference rate adjustments. It will consider the prospects of global shocks continuing to fade and the effects of weakness in economic activity," the statement stressed.

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MNI (BRASILIA) - The Central Bank of Mexico once again indicated its monetary easing cycle will continue at upcoming meetings after lowering the overnight interbank interest rate by 25 basis points to 10.25% Thursday, noting that core inflation shows improvement.

"Looking ahead, the Board expects that the inflationary environment will allow further reference rate adjustments. It will consider the prospects of global shocks continuing to fade and the effects of weakness in economic activity," the statement stressed.

Keep reading...Show less