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Mexico Central Bank Sees Pressure From Fed to Raise Rates

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Mexican policy makers who were unanimous in their decision to keep the key interest rate at a record low last month amid weak growth signaled that eventual higher borrowing costs in the U.S. could call for an increase in Mexico.

Banco de Mexico left the overnight borrowing rate unchanged at 3 percent on Jan. 29, a move forecast by all but one of 30 economists surveyed by Bloomberg. One board member said the central bank should signal an intention to raise rates “shortly” and another said there was no further room to relax monetary policy, according to the minutes of last month’s meeting published Thursday.