- The Mexican peso rose slightly against the dollar on Wednesday.
- Risk appetite favors emerging currencies.
USD / MXN is falling on Wednesday and is trading at 20.05, without registering significant variations in a day of low volume in the face of the end of the year holidays. The price remains between 19.90 and 20.20, consolidating, without a clear direction.
The tours on Friday are dominated for the moment by the fall of the dollar in a context of appetite for risk in the markets, in anticipation of a Brexit deal, which is boosting the stock markets.
Several were published US economic reports that had no major impact. There was a fall in the requests for unemployment benefits and a rise in the orders of durable goods, among the positive. On the downside, personal income and spending fell more than expected.
In Mexico, the outstanding figure was inflation in the middle of December. The consumer price index rose 0.34%, which implies an acceleration from the previous 0.04%, while the underlying index rose 0.52%. The rise in inflation was not very significant, but if this trend continues, the chances of further cuts in interest rates by Banco de México will be reduced.
USD / MXN remains bearish, but consolidation mode predominates
From a technical point of view, the dominant trend in USD / MXN remains bearish. Just an overcoming of 21.30 could that scenario in doubt. In the short term the cross is moving in a sideways range, near the recent 19.70 floor, which is a key support.
The bearish tone has lost strength in the USD / MXN, but at the same time the rises have not been lasting. A close above 20.30 would point to a deeper upward correction towards 20.50. The next strong resistance is at 20.80 / 85.
Technical levels
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