- Mexican peso among the worst performing currencies on Thursday.
- USD / MXN rises for the third day and returns around 20.30.
The USD / MXN is rising on Thursday for the third day in a row, supported by a fall in stocks and also by a general decline in the Mexican peso. The price reached 20.35, approaching the weekly peak of 20.38.
The Stock markets fell on Thursday on concerns about rising US Treasury yields. it is giving strength to the dollar against the riskier currencies. The greenback falls against those of the G10.
On Wall Street, the Dow Jones falls 0.65% and the Nasdaq 0.90%. Another negative factor was the data for requests for unemployment benefits, which showed an unexpected rise.
The Mexican peso, for its part, is among the weakest, possibly due to the impact of the frosts in the Texas area. This causes gas supply problems from the US to Mexico, in addition to other problems, including tensions between both sides of the border.
From a technical point of view, USD / MXN is back above the 20.30 zone and a daily close clearly above it would leave the way ready for a bullish extension. with possible initial target at 20.50. Then attention will shift to the January highs at 20.60. In the opposite direction, a comeback below 20.10 would ease the pressure, while key support is at 19.90.
Technical levels
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