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MNI WATCH: Banxico To Cut Rates By 25BP As Inflation Eases

The Central Bank of Mexico's board will meet on Thursday to decide the next steps in monetary policy.

MNI (BRASILIA) - The Central Bank of Mexico is generally expected to reduce its overnight interbank interest rate by 25 basis points to 10.50% on Thursday, in its second consecutive rate cut, with a minority of analysts betting that weaker economic activity will prompt a deeper half-point reduction.

Last month, Banxico lowered its interest rate by 25 basis points to 10.75% in a split decision and arguments for further cuts center on the continued decline in core inflation. The Board emphasized that risks to economic growth remain tilted to the downside, given the restrictive monetary policy stance.

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MNI (BRASILIA) - The Central Bank of Mexico is generally expected to reduce its overnight interbank interest rate by 25 basis points to 10.50% on Thursday, in its second consecutive rate cut, with a minority of analysts betting that weaker economic activity will prompt a deeper half-point reduction.

Last month, Banxico lowered its interest rate by 25 basis points to 10.75% in a split decision and arguments for further cuts center on the continued decline in core inflation. The Board emphasized that risks to economic growth remain tilted to the downside, given the restrictive monetary policy stance.

Keep reading...Show less