GS say that a rate cut from Banxico (Banco de México)could come without much warning
- possibly as early as September
- GS says monetary policy in Mexico is was "way too tight"
- cut could come without much warning, not going to be preparing the ground over two or three meeting
GS cite:
- economy underperforming
- output gap widening
- signs of a damaged jobs market
GS say a positive is demand, no cut needed to boost demand
Deal with the US adds costs for Mexico:
- border protection
- housing and feeding asylum seekers
- potential political cost
