Macro Analysis /
Global

Mexico: Banxico – A more hawkish tone suggests the hiking cycle will continue

  • In a split decision, Banxico decided to hike the reference rate by 25bps to 4.75%. The dissenter was Gerardo Esquivel

  • The statement had a more hawkish tone given the tally of the vote and changes to the inflation outlook

  • We reiterate our call of two more 25bps hikes in 2021, to 5.25%. For 2022, we see the rate by year-end at 6.00%

Alejandro Padilla Santana
Alejandro Padilla Santana

Executive Director of Economic Research and Financial Markets Strategy

Contributors
Manuel Jimenez Zaldivar
Francisco Jose Flores Serrano
Juan Carlos Alderete Macal
Banorte
30 September 2021
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