# Mexican central bank cuts rates to 4.5pc, but pace of cuts might slow - Business & Finance - Business Recorder

> Banxico cut its benchmark rate by 50 basis points to 4.5%, the lowest in four years, with one board member favoring a 25 basis point cut. The central bank flagged a possible uptick in inflation before the end of 2020 and expects the economy to shrink by up to 10.5% this year.

- Date: 2020-08-13 · published 2020-08-13T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/51835-mexican-central-bank-cuts-rates-to-4-5pc-but-pace-of-cuts-might-slow-business
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

Lower Mexican rates weigh on the peso and raise import costs for feed buyers. The deep economic contraction reduces demand for animal protein and feed in Mexico.

## Read by commodity

- USDMXN: bullish ▲

## Sources

- brecorder.com: https://www.brecorder.com/news/40011900

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