Banxico leaves benchmark interest rate unchanged at 8.25%

• Banxico keeps policy rate steady at 8.25% in June. 
• Bank says balance of risks for growth is now more uncertain.
• USD/MXN inches higher on the bank's cautious tone in its statement.

In a widely expected decision, Central Bank of Mexico announced that it left its benchmark interest rate unchanged at 8.25%. In its policy statement, the bank revealed that the board was not unanimous on the rate decision and reiterated that the balance of risks for growth was more uncertain and had increased its downward bias.

"Some risks for inflation have diminished, others have become more significant," the bank added. "The risk that exchange rate comes under pressure from internal or external factors has risen."

With the initial market reaction, the USD/MXN pair pushed modestly higher and was last seen adding 0.2% on a daily basis at 19.1636.