- Analytics
- News and Tools
- Market News
- USD/MXN will be trading in the 16.50-17.00 area later this year – ING
USD/MXN will be trading in the 16.50-17.00 area later this year – ING
Banxico meets to set interest rates today. The Mexican Peso (MXN) has been one of the very few currencies to appreciate against the dollar on a total return basis this year. Economists at ING analyze MXN outlook ahead of the decision.
Strong demand to emerge for the Peso on any dips
We think the Peso would not sell off too aggressively if Banxico did surprise and cut its 11.25% policy rate today. For reference, four of thirty economists polled by Bloomberg are looking for a cut.
And even if rates were cut, we think 10%+ implied yields, backed by supportive fiscal policy in an election year, should see strong demand emerge for the Peso on any dips.
We think USD/MXN will be trading in the 16.50-17.00 area later this year when the Dollar trend turns broadly lower.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
