Cetee Returns Exceed 9% After Banxico Adjustments
The returns on Cetes have surpassed the 9% mark after the Bank of Mexico (Banxico) decided to modify the interest rate to 9% last week. In its monetary policy statement, Banxico mentioned that it is considering further adjustments of 50 basis points in the future. You might also be interested in: How to file your annual tax return with SAT
These rate cuts by the central bank are happening in an environment where the Mexican economy shows signs of weakness. With lower economic activity, inflation is starting to slow down after peaking above 8.7%. For example, in February, the general inflation rate was 3.77%, which makes the returns on Cetes attractive as they offer gains above inflation.
What returns do Cetes offer? Currently, the 28-day Cetes offer the best return rate at 8.80%. The three-month ones are at 8.74%, the six-month ones offer 8.69%, and the one-year rate is 8.68%.In summary, although the Mexican economy faces some challenges, Cetes remain an attractive option for those seeking competitive returns. However, it’s important for investors to consider the financial context and potential volatility that may occur in the future, ensuring their portfolios are well-diversified to mitigate risks.
