In the short-term, economists at Wells Fargo expect a range bound Mexican Peso, while MXN can gradually strengthen over the second half of 2023 into early 2024.

USDMXN to hover between the 19.50-19.75 range into mid-2023

“Going forward, we expect the dynamic of attractive carry and stable local politics to continue, and for the Peso's recent stability to persist for the time being.”

“Through the end of this year and into mid-2023, we believe the USDMXN exchange rate can hover between the 19.50-19.75 range.”

“Over the second half of 2023 and into early 2024, we believe the USDMXN exchange rate can gradually move toward 19.00.”