● Banxico Surprises Markets With Split Rate Cut

Mexico's central bank unexpectedly cut its benchmark interest rate by 25 basis points to 6.25% on Wednesday, defying most analysts who had forecast no change. The Governing Board split 3-2: Governor Victoria Rodriguez Ceja, Omar Mejia and Gabriel Cuadra backed the cut, while deputy governors Jonathan Heath and Galia Borja voted against it. Banxico said it now plans to hold the rate at 6.25% "for an extended period," suggesting the easing cycle could pause again right after restarting. The peso ($MXN) had not priced in a move heading into the decision.