Created
: 2025.05.29
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
Banxico Quarterly Report: Sheds 2025 GDP growth to 0.1%, further easing eyed
World FX news
Breaking news
Banxico Quarterly Report: Sheds 2025 GDP growth to 0.1%, further easing eyed
2025.05.29 04:13
2025.05.29 04:13
Banco de México revealed its Quarterly Report for January -March 2025, in which the central bank revised its Gross Domestic Product (GDP) forecasts for 2025 and 2026 downward, compared to the last report of 2024.
Inflation in 2025 is expected to rise, while Banxico Governor Victoria Rodriguez Ceja noted that "going forward, it could continue calibrating the monetary stance and consider adjusting it by a similar amount as May 50 bp cut."
Key Quotes
- Forecasts 2025 GDP growth at 0.1% versus 0.6% in previous report.
- Forecasts 2026 GDP growth at 0.9% versus 1.8% in previous report.
- Forecasts average annual headline inflation in Q4 2025 at 3.3% vs estimate of 3.3% in previous quarterly report.
- Forecasts average annual core inflation in Q4 2025 at 3.4% vs estimate of 3.3% in previous quarterly report.
- Forecasts average annual headline inflation in Q4 2026 at 3.0% vs estimate of 3.0% in previous quarterly report.
- Forecasts average annual core inflation in Q4 2026 at 3.0% vs estimate of 3.0% in previous quarterly report.
- Headline inflation seen converging to 3% target in Q3 2026, vs Q3 2026 in prior quarterly report.
- Banxico Governor Rodriguez: The governing board estimates that going forward it could continue calibrating the monetary stance and consider adjusting it by a similar amount as May 50 bp cut.
- Board anticipates that the inflationary environment will allow the cycle of reference rate cuts to continue, while maintaining a restrictive stance.
- National economic activity is expected to remain sluggish over the forecast horizon.
Banxico FAQs
The Bank of Mexico, also known as Banxico, is the country's central bank. Its mission is to preserve the value of Mexico's currency, the Mexican Peso (MXN), and to set the monetary policy. To this end, its main objective is to maintain low and stable inflation within target levels - at or close to its target of 3%, the midpoint in a tolerance band of between 2% and 4%.
The main tool of the Banxico to guide monetary policy is by setting interest rates. When inflation is above target, the bank will attempt to tame it by raising rates, making it more expensive for households and businesses to borrow money and thus cooling the economy. Higher interest rates are generally positive for the Mexican Peso (MXN) as they lead to higher yields, making the country a more attractive place for investors. On the contrary, lower interest rates tend to weaken MXN. The rate differential with the USD, or how the Banxico is expected to set interest rates compared with the US Federal Reserve (Fed), is a key factor.
Banxico meets eight times a year, and its monetary policy is greatly influenced by decisions of the US Federal Reserve (Fed). Therefore, the central bank's decision-making committee usually gathers a week after the Fed. In doing so, Banxico reacts and sometimes anticipates monetary policy measures set by the Federal Reserve. For example, after the Covid-19 pandemic, before the Fed raised rates, Banxico did it first in an attempt to diminish the chances of a substantial depreciation of the Mexican Peso (MXN) and to prevent capital outflows that could destabilize the country.
Last updated
: 2025.05.29
Related articles
Canadian Dollar snaps lower after Trump pulls the plug on trade talks with Canada
2025.06.28 05:43EUR/USD slips below 1.1700 as core PCE tops estimates, Eurozone data mixed
2025.06.28 05:39AUD/USD retreats from YTD highs as risk sentiment steadies, US Dollar firms
2025.06.28 04:37NZD/USD holds below YTD peak, capped in rising wedge pattern
2025.06.28 03:23EUR/USD hits multi-year highs as USD struggles despite hotter PCE print
2025.06.28 01:44USD/JPY edges higher as US core PCE rises and risk-on sentiment reduces demand for the Yen
2025.06.28 01:04
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
Silver Price Forecast: XAG/USD dips below $36.20 after bearish reversal, US yields rebound
Silver price sinks more than 1% on Friday, ahead of the weekend, after refreshing five-day highs of $36.83, ahead of $37.00. At the time of writing, XAG/USD trades at $36.16 due to a slight recovery in the US dollar and rising US Treasury yields.
New
2025.06.28 05:57Canadian Dollar snaps lower after Trump pulls the plug on trade talks with Canada
The Canadian Dollar (CAD) backslid on Friday, falling back on a combination of weakening Canadian Gross Domestic Product (GDP) growth metrics and fresh trade tensions with US President Donald Trump.
New
2025.06.28 05:43EUR/USD slips below 1.1700 as core PCE tops estimates, Eurozone data mixed
The EUR/USD retreats from yearly highs above 1.1750, tumbling below 1.1700 despite market participants being convinced that the Federal Reserve (Fed) will cut rates at the September meeting.
New
2025.06.28 05:39AUD/USD retreats from YTD highs as risk sentiment steadies, US Dollar firms
The Australian Dollar (AUD) is pulling back from weekly highs against the US Dollar (USD) on Friday.
New
2025.06.28 04:37Dow Jones Industrial Average accelerates into the high end as interest rate cut bets climb
The Dow Jones Industrial Average (DJIA) gained ground on Friday, driven by a combination of investor expectations that the US will figure out how to secure trade deals that circumvent its own ringfence of threatened tariffs, and rising expectations of more rate cuts from the Federal Reserve (Fed) by
New
2025.06.28 03:50NZD/USD holds below YTD peak, capped in rising wedge pattern
NZD/USD struggles to extend its recent advance on Friday, hovering near 0.6045 after an intraday high of 0.6079. The pair remains trapped inside a rising wedge formation, typically a bearish signal, as the broadly weak US Dollar steadies.
New
2025.06.28 03:23WTI Crude Oil posts largest weekly drop since March 2023
West Texas Intermediate (WTI) Crude Oil has fallen sharply since reaching a high of $76.44 on Monday, with prices declining more than $10.00 per barrel this week.
New
2025.06.28 03:19Gold plunges below $3,300 as risk appetite surges on China trade deal, Middle East diplomacy
Gold price tumbled over 1.50% on Friday amid an improvement in risk appetite, driven by several factors.
New
2025.06.28 02:40EUR/USD hits multi-year highs as USD struggles despite hotter PCE print
The Euro (EUR) climbs for an eighth consecutive day against the US Dollar (USD) on Friday, as the Greenback remains under pressure amid a combination of political and economic headwinds.
New
2025.06.28 01:44Tensions on the Copper market - Commerzbank
According to the International Copper Study Group, the Copper market slipped from a supply surplus to a supply deficit of 50 thousand tons in April, Commerzbank's Head of FX and Commodity Research Thu Lan Nguyen notes.
New
2025.06.28 01:34Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
