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Mexico's Carstens prefers prudence on hikes amid uncertainty

"We don't want to get ahead of ourselves and shoot without knowing what we are shooting at," said Mexico's central bank chief.

Photo: EL UNIVERSAL Archives
02/12/2016 |21:05
Redacción El Universal
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Mexico's central bank chief Agustin Carstens said on Friday that he and his fellow policymakers prefer to be prudent with interest rate moves given uncertainty over future U.S. policy.

Mexico hiked interest rates last month by 50 basis points to 5.25 percent after Donald Trump's surprise victory in the U.S. presidential election drove the peso to a record low due to concerns Trump could curtail trade with Mexico.

"We prefer to move with prudence and be cautious," Carstens told local radio. "We are looking for a balance, we don't want to be behind the curve, but neither do we want to get ahead of ourselves and shoot without knowing what we are shooting at."

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(Reporting by Enrique Andres Pretel)