The Bank of Mexico, known as Banxico, kept its benchmark interest rate at 11.00% at its June meeting, extending a level maintained since March 2024. Minutes released Thursday show that board members unanimously backed the decision as headline inflation fell to 4.78% in May, while core inflation remained elevated at 4.16% and economic growth slowed. Officials said restrictive policy may need to remain in place until inflation moves more convincingly toward the 3% target. The minutes revealed differing views on when rate cuts could begin: a minority favored an earlier easing cycle if disinflation continues, while most members preferred to wait for clearer evidence. Markets have priced in a high probability of a fourth-quarter 2024 cut, with some analysts expecting a 25-basis-point reduction in December, although no official timetable has been set. Banxico remains alert to supply-chain disruptions, wage growth, changes in U.S. monetary policy and geopolitical tensions. The cautious stance may support the peso by preserving relatively high yields and attracting foreign capital, but it also keeps borrowing costs elevated for businesses and consumers. Mexico's economy is projected to grow 2.2% in 2024, down from 3.2% in 2023, making the central bank's effort to control inflation while limiting damage to growth a key focus for investors.