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Free AccessPressure on Peso Sustained Despite More Moderate Greenback Showing
- USDMXN continues to trade with an upward bias, up 0.55% on the day in early trade. The pair rallied ~2% yesterday, driven by the risk-off tone across global markets and sustained uptick in the USD index throughout the session.
- Today’s gains come despite a more muted showing of the greenback, with EURUSD marginally in the green at typing, and further pushback from officials of major central bank over the prospect of early rate cuts. Nevertheless, the EM FX basket continues to face pressure, with the Mexican peso a notable underperformer in the space.
- Today, USDMXN continues to trade above the 50-day EMA, which intersects at 17.1825. A more sustained break of this average is needed to signal a reversal of the technical bearish theme that has been dominating since early December. The December highs, at 17.5698, will be the next target for bulls.
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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.