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of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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Free AccessCarry Trade Unwind Weighs On MXN, Focus On July CPI, Banxico Rates This Week
- The global sell-off in risk assets continues to support USDMXN, which is still trading up more than 3% at the time of writing. The pair has traded through both the post-election highs around 19.00 and 19.2322, the March 2023 peak, reaching 20.2181 overnight, its highest level since September 2022, before paring gains. Meanwhile, the rally in the yen has prompted a more than 5% sell-off in MXN/JPY, which hit its lowest since March 2023 earlier.
- On the data front, July formal job creation figures may be released today. Later this week, attention will turn to the July CPI figures on Thursday, which come just ahead of the Banxico monetary policy meeting later that day. Analysts currently lean towards a 25bp cut to 10.75%, but most survey responses will have come prior to today’s move in MXN, which may prompt a more cautious stance from policymakers.
- Meanwhile, President-elect Sheinbaum is due to hold a press conference at 1830BST(1330ET), following a meeting with state governors to discuss strategic projects.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.