Published on Friday, July 1, 2016

LatAm Daily | Banxico increased its MPR by 50bps, taking it to 4.25%

Summary

Concerns over the risks that current exchange rate depreciation poses on core inflation and its expectations, led the CB of Mexico to raise its benchmark rate. Exchange rate will be the key variable to follow in a context of a more gradual pace of MP normalisation in the US. Moreover, activity data by sector in Chile anticipates an Imacec with a ceiling of 2% YoY in May.

Geographies

Topics

Authors

Enestor Dos Santos BBVA Research - Principal Economist
Lorena Lechuga
Hugo Perea BBVA Research - Chief Economist
Cecilia Posadas BBVA Research - Principal Economist
Jorge Selaive
Carlos Serrano BBVA Research - Chief Economist
Juana Téllez BBVA Research - Chief Economist

Documents and files


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Report (EPUB)

67413_135086.epub

English - July 1, 2016

Report (PDF)

67413_135086.pdf

English - July 1, 2016

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