Bank of Mexico
Coverage of Bank of Mexico in the Nexus archive.
- Mexico’s central bank holds interest rate at 6.50% while inflation continues to decline
Mexico’s central bank (Banxico) maintained its benchmark interest rate at 6.50% amid declining inflation, with all board members voting to keep the rate unchanged. Annual headline inflation fell to 3.55% in June’s first half, down from 3.94% in May, while core inflation decreased to 4.12%. Banxico projects further inflation declines but noted risks like geopolitical conflicts and peso depreciation.
- Mexico’s inflation rate dropped below 4% in May
Mexico’s annual headline inflation rate fell to 3.94% in May, entering the Bank of Mexico’s 2-4% target range for the first time since January. Core inflation decreased to 4.19%, while services inflation remained elevated at 4.57% annually for 54 consecutive months. Prices for fruits and vegetables surged 14.38% annually, with tomatoes rising 99.23%.
- Moody’s Cuts Mexico Credit Rating to One Notch Above Junk
Moody's cut Mexico's credit rating to one notch above junk, and the Mexican peso trimmed losses after falling as much as 3.5%. The currency is vulnerable to Trump's trade policies. This change affects Mexico's economy.
- Banxico’s Dissenters Warn About Price Pressures Due to Iran War
Banxico's dissenters warn about potential price pressures linked to the Iran War. The Bank of Mexico in Mexico City is monitoring economic impacts.