Mexico raises key interest rateStaff writer ▼ | December 18, 2015
Mexico's central bank raised its key interest rate for the first time in seven years to protect the peso after the U.S. Federal Reserve hiked its own benchmark rates.
Mexico After Fed move
The bank said that its first rate hike since August 2008 was "mainly in response" to the Fed's decision to increase the US rate from near zero to 0.25-0.50 percent.
Failing to increase Mexico's rate "could generate an additional depreciation" of the peso against the dollar and affect inflation, the statement said. ■