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USDMXN Supported Overnight, Focus Remains Thursday CPI/Rate Decision

MEXICO
  • USDMXN well supported overnight and currently +0.6% for Tuesday. Continued light data docket should mean the pair trades with broader dollar sentiment. Initial resistance comes in at 20.8576, the 61.8% retracement level of the Mar 8 - Jun 9 downleg. Thursday's low of 20.3274 marks initial support.
  • Tomorrow will see the April retail sales data be published before the focus turns to Thursday's CPI release as well as the Banxico rate decision and statement.
  • 11:30am: Mexico central bank to announce auction results of:
    • 5b pesos of 28-day Cetes
    • 7.4b pesos of 91-day Cetes
    • 13.5b pesos of 175-day Cetes
    • 11.5b pesos of 343-day Cetes
    • 6b pesos of Mbonos due Sept. 2024
    • 720m udis of inflation-linked bonds due November 2050

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