The Mexican Peso extends its uptrend after comments from the Deputy Governor of the Bank of Mexico.
Irene Espinosa said she advocated for interest rates remaining high as inflation continued to be a problem.
USD/MXN forms a bearish channel while it continues to descend.
The Mexican Peso (MXN) edges higher, continuing the steep rally witnessed in most MXN pairs on Friday, after the Deputy Governor of the Bank of Mexico (Banxico), Irene Espinosa, said she thought the Banxico should keep interest rates at their current high level (11.0%) as the battle with inflation was not yet over.
Her comments were positive for the Mexican Peso as higher interest rates attract more foreign capital inflows. They also contrast with the outlook for many of the Peso’s major peers where earlier interest rate cuts are now either expected or likely.
At the time of writing, USD/MXN is trading at 16.60, EUR/MXN at 18.05 and GBP/MXN at 21.07.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
Hot
No comment on record. Start new comment.