MEXICO: Good Framework For Security Deal Achieved, USDMXN Off Session Highs
Aug-27 15:17
- USDMXN has pared gains in recent trade, with the peso finding some support from President Sheinbaum’s remarks at her daily press conference that the government has achieved a good framework for the US security deal.
- Sheinbaum said that US secretary of State Marco Rubio will visit Mexico soon to sign the security deal between the two countries.
- USDMXN is now ~0.3% higher on the session around 18.72 at typing, off earlier session highs at 18.7979. Although spot remains well contained within the most recent 18.50-18.85 range, the trend needle in USDMXN continues to point south.
- A resumption of the downtrend would signal scope for weakness towards 18.4302, the Aug 1 ‘24 low. On the upside, resistance at the 50-day EMA, at 18.8170, remains intact. Clearance of it is required to undermine the trend, which would open 19.3431, the Jun 23 high.
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US DATA: Dallas Mfg Rounds Out Regional Fed Surveys Eyeing Nudge Higher In ISM
Jul-28 15:17
- The Dallas Fed manufacturing index was stronger than expected in July as it increased to 0.9 (cons -9.5) from -12.7 in June.
- It’s a third consecutive increase from the -35.8 in April, at what had been its lowest since Jan’16 outside of Mar-May 2020, and leaves it at the first positive reading since January.
- Within the details, new orders improved but remained in contractionary territory at -3.6 after -7.3.
- Outlook measures broadly improved: “Expectations for manufacturing activity six months from now improved. The future production index rose eight points to 30.3, while the future general business activity index rose five points to 19.0. Most other indexes of future manufacturing activity also increased, though some remain below their average readings.”
- This report rounds out the six regional Fed manufacturing releases for July, with four of the six improving (Empire, Philly, Kansas and Dallas vs Richmond and Chicago softening).
- The average of the six increased to 0.2 from -4.1 in June as it continued a recovery from a recent low of -17.4 in April, for the highest since March.
- This is within the margin for error around consensus currently looking for ISM manufacturing to have ticked up from 49.0 to 49.5 in Friday’s July release. Before then, the MNI Chicago PMI for July will be released on Thursday.
FED: US TSY 2Y AUCTION: NON-COMP BIDS $356 MLN FROM $69.000 BLN TOTAL
Jul-28 15:15
- US TSY 2Y AUCTION: NON-COMP BIDS $356 MLN FROM $69.000 BLN TOTAL
FED: US TSY 26W AUCTION: NON-COMP BIDS $2.051 BLN FROM $73.000 BLN TOTAL
Jul-28 15:15
- US TSY 26W AUCTION: NON-COMP BIDS $2.051 BLN FROM $73.000 BLN TOTAL
