# Inflation and volatility complicate interest rate cuts in Mexico - BNamericas

> Mexico's first-half June inflation came in at 4.78%, above consensus, and the peso stabilized near 18 per dollar ahead of Banxico's June decision. Analysts said election-related volatility makes a rate cut difficult.

- Date: 2024-06-26 · published 2024-06-26T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/30002-inflation-and-volatility-complicate-interest-rate-cuts-in-mexico-bnamericas
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

Persistent inflation and a stabilized peso keep Mexican borrowing costs high, which constrains livestock and feed sector expansion and therefore import demand for US feed inputs.

## Read by commodity

- USDMXN: neutral

## Sources

- bnamericas.com: https://www.bnamericas.com/en/analysis/inflation-and-volatility-complicate-interest-rate-cuts-in-mexico

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.