Economists at Credit Suisse raise their USD/MXN target range from 20.00-20.60 to 20.40-21.15 as they see headwinds for MXN increasing into year-end. 

Curb your expectations

“We now see the August highs around 20.40 as the low end of the range, and see upside potential for now limited to the 76.4% retracement of the 2021 high-to-low retracement at 21.15.”

“Expectations of a less supportive BOP in Q4 and fears of a dovish Banxico shift in Q1 can also limit the scope for USD/MXN downside.”