# Could Banxico's decision sink the Mexican peso? Here's the explanation

> Banamex and BofA expect Banxico to hold its benchmark rate at 6.50% at its November 5 meeting, though a cut carries significant risk. The Mexico-US rate differential is at a record low of 250 basis points, and the peso has weakened from 16.9 to about 18.8 per dollar since September.

- Date: 2026-11-04 · published 2026-11-04T18:09:07.359Z
- Category: macro · region Mexico · magnitude medium
- Page: https://feedsoft.ai/events/80080-could-banxico-s-decision-sink-the-mexican-peso-here-s-the-explanation
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A possible Banxico rate cut could weaken the peso further, raising the cost of imported feed ingredients priced in dollars for Mexican buyers.

## Read by commodity

- USDMXN: bullish ▲

## Sources

- mx.investing.com: https://mx.investing.com/news/economy-news/la-decision-de-banxico-podria-derrumbar-al-peso-mexicano-esta-es-la-explicacion-3832084

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