Mexico: Central bank cuts key rate by 50bp as expected. USD/MXN turns flat after hitting the highest intraday level since May near 23.00. The USD/MXN pair remained steady hovering near 22.75 following the decision of the Bank of Mexico to cut the key interest rate by 50 basis points. Earlier it rose to 22.99, reaching the highest intraday level in a month and then pulled back. The move higher in USD/MXN was supported by a stronger US dollar across the board but as it the greenback lost strength, trimming gains. A quiet session across financial markets favored the retreat of the pair from one-month, however, it was limited by 22.70. From a technical perspective, the bias continues to favor the upside in USD/MXN, but it failed again to post a daily close above 22.80. Such a breakout is needed to clear the way to more gains. The retreat under 22.80 offers signals that the pair could continue to trade in the 22.25/22.80 range. Banxico: one more cut, more likely ahead As expected, the Bank of Mexico cut the key rate from 5.5% to 5.0%. It was the ninth consecutive rate cut. The decision was unanimous and the statement offered no significant changes, leaving the door open to further cuts. “The outlook component of the statement remains relatively unchanged, which gives us confidence in maintaining our current policy rate forecast of two further 50bp cuts, followed by two 25bp cuts, that will bring the policy rate to 3.50% by end of year”, explained analysts at TD Securities. 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 Bitcoin Technical Analysis: BTC/USD briefly dips below $9,000 and loses the daily uptrend FX Street 2 years Mexico: Central bank cuts key rate by 50bp as expected. USD/MXN turns flat after hitting the highest intraday level since May near 23.00. The USD/MXN pair remained steady hovering near 22.75 following the decision of the Bank of Mexico to cut the key interest rate by 50 basis points. Earlier it rose to 22.99, reaching the highest intraday level in a month and then pulled back. The move higher in USD/MXN was supported by a stronger US dollar across the board but as it the greenback lost strength, trimming gains. A quiet session across financial markets favored the retreat of… Regulated 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.