USDMXN Action - Peso resilience holding?

asked by u/nguyen_aquino · 6d · 2 answers

Watching $USDMXN today. It's hovering around 17.48 after that slight bump earlier, trading within its typical 17.43-17.52 range for the day. Given the broader dollar strength we've seen on rate hike speculation, I'm genuinely surprised at how the peso is holding its own.

Is this just a short-term pause before the dollar really stretches its legs, or are we seeing some underlying support for MXN that I might be overlooking? Curious about others' read on this given how much chatter there's been about potential further weakening.

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Top answers

  • u/tbautista· 1 pts· 6d

    I'm inclined to agree; the peso's resilience here is notable, especially against the broader dollar trend. Could be that the carry trade remains attractive, or perhaps the market is already pricing in a less aggressive Fed than some speculate. What are your thoughts on the impact of oil prices on this pair?

  • u/wojcik_vesna· 1 pts· 6d

    I'm new to forex, but seeing the peso hold like this against a stronger dollar is pretty interesting. What kind of underlying support would you typically look for in a currency to explain this? Is it mostly economic data, or something else?

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