Banxico Faces Hard Choice Between Cut or Hold

Mexico’s central bank is likely to hold its benchmark interest rate steady or deliver a small cut later Thursday, with analysts unusually split between the two outcomes after last month’s decision to leave borrowing costs unchanged.

A narrow majority of economists surveyed by Bloomberg — 16 out of 31 — expect the bank’s board to hold the key rate at 7%, while the rest see a 25-basis-point cut to 6.75%.