- Despite the upward pressure on USDMXN earlier on Wednesday, amid the higher US yields and associated greenback strength, the pair has moved notably lower through the session, unwinding much of today’s gains. The pair currently trades 0.6% higher on the day around 20.24, having reached as high as 20.8072 earlier.
- While the US election developments and ongoing risks related to constitutional reforms weighed on the peso initially, President Sheinbaum has announced details of her energy reform this afternoon, including $23.4bn in spending on energy infrastructure projects through 2030.
- Tomorrow, focus turns to October CPI inflation data, expected to reveal sticky core price pressures.
- As noted, the trend condition in USDMXN remains bullish. A key resistance at 20.2181, the Aug 5 high, has been cleared, and today’s rally came within close proximity of 20.8178, the 2.236 projection of the Sep 18 - Oct 1 - Oct 4 price swing. The 20-day EMA at 19.9120 marks first support.
MEXICO: USDMXN Unwinds Earlier Gains
Last updated at:Nov-06 17:55By: Keith Gyles
Mexico+ 1
- Despite the upward pressure on USDMXN earlier on Wednesday, amid the higher US yields and associated greenback strength, the pair has moved notably lower through the session, unwinding much of today’s gains. The pair currently trades 0.6% higher on the day around 20.24, having reached as high as 20.8072 earlier.
- While the US election developments and ongoing risks related to constitutional reforms weighed on the peso initially, President Sheinbaum has announced details of her energy reform this afternoon, including $23.4bn in spending on energy infrastructure projects through 2030.
- Tomorrow, focus turns to October CPI inflation data, expected to reveal sticky core price pressures.
- As noted, the trend condition in USDMXN remains bullish. A key resistance at 20.2181, the Aug 5 high, has been cleared, and today’s rally came within close proximity of 20.8178, the 2.236 projection of the Sep 18 - Oct 1 - Oct 4 price swing. The 20-day EMA at 19.9120 marks first support.
