USD/MXN: Easier domestic monetary policy to nudge the Mexican Peso a little lower this year– Scotiabank

Market news

13 February 2024

USD/MXN: Easier domestic monetary policy to nudge the Mexican Peso a little lower this year– Scotiabank

The Mexican Peso (MXN) has remained well anchored near the 17.00 level against the US Dollar (USD). Economists at Scotiabank analyze Peso’s outlook.

Slight bias towards a depreciation in the MXN

Political noise coming from the presidential elections in the US and changing expectations regarding the Fed and Banxico’s monetary policy paths remain the currency’s major source of distress.

We expect easier domestic monetary policy to nudge the MXN a little lower this year but the exchange rate will be sensitive to likely Republican candidate Trump’s comments on trade and tariffs as the US election campaign unfolds.

USD/MXN – Q1-24 17.70 Q2-24 17.80 Q3-24 18.10 Q4-24 18.40

EUR/USD drops as US CPI rose above expectations

USD to remain strong in the near term – Danske Bank

Market Focus

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer

Open Demo Account & Personal Page

Personal area

support@teletradepartners.com

Risk Warning: Trading in the financial markets (including trading on margin) provides a wide range of opportunities and enables investors ready to take risks to make high profits, but it carries a potentially high level of risk of loss. Therefore, prior to trading you should take into careful consideration whether such operations are suitable for you in terms of your level of knowledge and financial situation.