Free Trial

MXN Strength Persists Ahead of Thursday's Banxico Decision

LATIN AMERICA
  • Across G10, the JPY is making gains while the USD is broadly mixed-to-lower. Equity futures are non-directional, with Europe higher, but US futures pointing to a lower open on Wall Street.
  • Brazil's fiscal framework remains a focus point, with voting set to be delayed until next week following a meeting between congressional leaders.
  • Banxico decision takes focus going forward, with Thursday's decision expected unchanged. Markets watch for any accompanying messaging this week, that may suggest policymakers are open to further rate hikes should core inflation remain sticky. Ahead of the decision, the USD/MXN downtrend remains in place, putting the pair a new cycle low yesterday of 17.4207 - again the lowest since 2016.
  • Colombian trade balance and Brazilian services trade data mark the sole releases on the Latam calendar Tuesday.

To read the full story

Close

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.