FXStreet (Edinburgh) - Strategists at TD Securities believe the Mexican central bank to hike its benchmark rate by 25 bp at its meeting this week. Key Quotes “As the Fed goes, so does Banxico: we and the market expect a 25bp rate hike from the central bank, an expectation (given weaker price dynamics) based on the presumption that it will move in lock-step with the Fed, at least near the start of the policy cycle”. “Bloomberg consensus has the bias 4:3 in favour of a hike, however it would be unlikely that we see a deviation from the very much expected Fed hike, and so a failure to hike would certainly hit MXN”. “Banxico’s meeting calendar for 2016 suggests that it will remain fairly Fed-focused until midyear, at least in terms of proximity to FOMC meetings, which may mean close tracking into the later spring for Mexican policy makers”. For more information, read our latest forex news.