Christian Lawrence, Senior Market Strategist at Rabobank, expects Banxico to leave the Mexican policy rate on hold at 7.50% today. Key Quotes “MXN OIS suggests a 25bp hike is fully priced in and the majority of analysts are also expecting a move. We sit in the minority with our call for no change in rates.” “Price pressures continue to ease and although currency depreciation does pose an inflationary risk further out, pass-through has generally been slightly lower and taken longer.” “We see risk of further MXN depreciation heading into the July 1st Presidential election regardless of rates and as such, we expect Banxico to keep its powder dry until after then.” “We have long been expecting the recent sell-off in MXN and we continue to see room for USD/MXN to breach the 21 handle in the coming weeks as we head towards the election.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Norges Bank: Hawkish stance confirmed – Nordea Markets FX Street 3 years Christian Lawrence, Senior Market Strategist at Rabobank, expects Banxico to leave the Mexican policy rate on hold at 7.50% today. Key Quotes "MXN OIS suggests a 25bp hike is fully priced in and the majority of analysts are also expecting a move. We sit in the minority with our call for no change in rates." "Price pressures continue to ease and although currency depreciation does pose an inflationary risk further out, pass-through has generally been slightly lower and taken longer." "We see risk of further MXN depreciation heading into the July 1st Presidential election regardless of rates and as such,… Top Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
