Mexico central bank hikes more than expected to defend peso
MEXICO CITY, June 30 (Reuters) - Mexico's central bank aggressively raised its key interest rate more than expected on Thursday in a bid to support the peso and calm concerns that currency weakness could inflame inflation.
The Banco de Mexico raised its key rate by half a percentage point to 4.25 percent, above the 25 basis point hike projected by the median of analysts surveyed by Reuters.
The peso reversed losses to gain more than 1.6 percent. (Reporting by Gabriel Stargardter and Michael O'Boyle)
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