Mexican Peso ticks down as US Durable Goods Orders jump and Consumer Confidence steadies.
Banxico’s dovish stance remains with Governor Rodriguez hinting at possible future rate cuts amidst inflation concerns.
USD/MXN tests key support levels with potential for further movement on Banxico actions and US data insights.
The Mexican Peso is losing momentum and falling against the US Dollar on Tuesday as the North American session begins. The Greenback pares earlier losses amid a slightly busy economic docket in the United States (US). A risk-off impulse prompted traders to seek some safety after consumer confidence remained steady, while Durable Goods Orders increased the most since 2022. The USD/MXN trades at 16.68, up 0.06%.
Mexico’s economic schedule is scarce, but it will gather pace on Wednesday. According to the consensus, the Balance of Trade is expected to show a narrower deficit in February, from $-4.31 billion to $-0.2 billion. The Unemployment Rate is foreseen dipping from 2.9% to 2.8% for the same period.
Banxico Governor Victoria Rodriguez Ceja remained dovish via an interview with El Financiero. Rodriguez commented that the battle against inflation hasn’t been concluded, though adding that in upcoming meetings, they would discuss further rate cuts to the main reference rate.
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