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Banxico Decision Due Thursday, USDMXN Consolidates Above 19.00

MEXICO
  • USDMXN has ben consolidating above the 19.00 handle following yesterday’s sharp rally that saw the pair print as high as 19.2906 amid the broad greenback strength and pressure on emerging market currencies.
  • Thursday remains the focus with both January inflation data and the February Banxico decision. All analysts are calling for a 25bp hike, however, the statement will be carefully analysed for clues on when the monetary tightening cycle will end. The MNI preview with analyst views will be published later today.
  • President AMLO will resume his daily press conferences after yesterday’s Constitution Day holiday.
  • Citibanamex will release its economist survey with outlooks for inflation, GDP growth and monetary policy moves. Analysts raised their 2023 inflation to 5.1% from 5.02% in the last survey.
  • Just released: *MEXICO NOV. CAPITAL INVESTMENT RISES 6.6% Y/Y; EST. +5.5% (BBG)

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