interest rate latest publications
The Board of the Central Bank decided to increase the monetary policy rate from 2,50% to 3,00% in January. The Bank changed the forward guidance component, signaling further hikes.
Banco de la República increased the policy rate by 50 basis points, bringing it to 3.0%. The vote was split, with 4 members in favor of a 50 basis points increase and 3 in favor of 75 basis points.
The Central Bank will most likely hike again in December, but not at a faster pace; the probability that the hiking cycle continues in 1Q22 has increased .
November 9, 2021
Banxico: We expect another 25bp hike and think that the chance of a larger hike is low
A strong core inflation print and a further rise in 12-months ahead core inflation expectations will keep Banxico in a tightening mode
Banco de la República increased the policy rate by 50 basis points, bringing it to 2.5%. The vote was split, with 5 members in favor of a 50bp increase and 2 in favor of 25bp. On the other hand, the Staff revised its forecasts for activity, inflation and current account deficit upwards again.
Rising inflation in Mexico is due to supply shocks and will subside next year. Economy recovers from the crisis, but in a slow and incomplete way.
October 8, 2021
Peru | Central Bank hikes by 50bp again in response to unanchored inflation expectations
The Board of the Central Bank decided to increase the monetary policy rate from 1,00% to 1,50% in October. The Bank once again deems convenient to maintain an expansive policy stance for a prolonged period.
Banxico will likely hike the policy rate by 25bp to 4.75% but looking ahead, we stick with our more dovish view .