# Further Mexico rate hikes likely in 2018

> Banxico raised its target rate by 25 basis points to 7.25% on December 14, following the US Federal Reserve's hike the previous day. The move was the first under new Governor Alejandro Diaz de Leon and takes the rate to its highest level since March 2009. Analysts expect tighter policy to weigh on 2018 growth and consumption.

- Date: 2017-12-21 · published 2017-12-21T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/67708-further-mexico-rate-hikes-likely-in-2018
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

Tighter monetary policy slows Mexican growth and meat and feed consumption, which weakens demand for imported feed ingredients.

## Sources

- doi.org: https://doi.org/10.1108/oxan-db227635

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