Mexico's Banxico reduces benchmark interest rate to 10.75% amid domestic inflation surge.

Mexico's central bank, Banxico, stunned analysts by reducing the benchmark interest rate to 10.75% despite a surge in domestic inflation, prompting concerns about its monetary policy strategy. The move contradicts conventional approaches and raises questions about the bank's rationale and potential impact on the Mexican economy. Banxico acknowledged the potential for further discussions on rate adjustments due to inflationary pressures in the country.

August 08, 2024
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