Bank of Mexico Watching, not Tied to the Fed

Dow Jones02:25

1425 ET - The Bank of Mexico isn't ignoring the Federal Reserve and the possibility of its raising interest rates, but minutes of the Mexican central bank's June meeting show it wouldn't respond "mechanically" to a Fed hike, Finamex chief economist Victor Gomez Ayala says in a note. The minutes reflect a Bank of Mexico more focused on domestic conditions, exchange rate stability and core inflation, than on synchronizing with the Fed, he says. Last month's unanimous decision to pause was the result of that, "and so, in our opinion, will the next move be, which has a greater probability of being a cut than a hike." (anthony.harrup@wsj.com)

(END) Dow Jones Newswires

July 09, 2026 14:25 ET (18:25 GMT)

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