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Snapshot: Weakness Prevailing, AMLO Comments Spark MXN Retreat

LATAM FX
  • LATAM FX Snapshot: Weakness prevailing as stocks edge lower and EMFX indices retreat. Most recent rhetoric from Mexican president AMLO on his intentions to strengthen state-owned electricity company CFE, prompting some Peso weakness.
  • USDMXN broke last Friday's high back above 20.00 and has been consistently supported since the comments. The majority of regional currencies following suit with potential weak EMFX longs getting trimmed as we approach tomorrow's Fed. The weaker commodity complex adding to Latam FX headwinds.
    • USDMXN up 0.69% at 20.1024
    • USDBRL up 0.79% at 5.102
    • USDCLP up 0.6% at 722.62
    • USDCOP up 2.3% at 3687.13
    • USDPEN up 0.8% at 3.9269
    • Bbg Dollar Index up 0.13% at 1124.4
    • JPMorgan EM Ccy Index down 0.35% at 57.82
    • Bbg Commodity Index down 0.5729 points (-0.61%) at 93.7244
    • Copper Futures down 17.75 (-3.92%) at 435.00

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