Overview
- Banco de México delivered a widely expected 25bp reduction, taking the policy rate to 7.25% in its twelfth straight cut.
- The Mexican peso firmed slightly after the decision, with the exchange rate closing near 18.5647 per US dollar.
- Survey medians from Citi point to a gradual path ahead, with forecasts around 7.00% for end‑2025 and 6.50% for end‑2026.
- Argentina’s Treasury reported a successful debt auction that rolled about 111% of maturities, while JP Morgan’s risk indicator fell to roughly 621 basis points on stronger sovereign bonds.
- Dollar quotes in Argentina eased during low‑volume trading on the banking holiday, with the official rate near ARS 1,475 and the blue around ARS 1,435, as investors look for signs of reserve accumulation.