# Banxico cuts interest rate despite raising its inflation forecast: key points for Mexico

> Banxico cut its policy rate by 25 basis points to 6.25%, with three members voting in favor and two preferring no change. It raised its fourth-quarter 2026 headline inflation forecast from 3.5% to 3.7%, while retaining its expectation that inflation will converge to 3% in late 2027.

- Date: 2026-11-07 · published 2026-11-08T00:09:57.166Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/86639-banxico-cuts-interest-rate-despite-raising-its-inflation-forecast-key-points
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

The rate cut may reduce support for the peso and increase the local-currency cost of imported feed ingredients, while higher inflation forecasts underscore the risk of persistent domestic cost pressures. The article does not report a specific commodity-price move.

## Read by commodity

- USDMXN: bullish ▲

## Sources

- finanmercado.mx: https://finanmercado.mx/economia/banxico-recorta-tasa-eleva-pronostico-inflacion/

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