Mexico's central bank will distance itself from the U.S. Federal Reserve when it makes monetary policy decisions in 2019, instead placing more emphasis on domestic inflation.
Banco de México has scheduled eight interest rate meetings for next year, but only three of them will take place in close proximity with the Fed's own announcement, El Economista reported.
Mexican rate decisions planned for February, March and December of next year will have a gap of one week from the U.S. decision. Additionally, Banco de México has not set any policy meetings for January, April, July and October of next year even though the Fed plans to meet in those months, the publication reported.
This marks a shift in strategy for Mexico's central bank, which has preserved a relative monetary policy stance with the U.S. for a while now. For example, Banco de México's most recent rate hike of 25 basis points in December came just a day after the Fed announced a similar raise.
The 2019 policy meeting schedule published by Banco de México indicates that the central bank will take rate decisions shortly after the release of official inflation figures, El Economista reported. The bank is keeping a close eye on the pressure that a volatile peso currency might exert on local consumer prices.