Mexican Peso trades sideways despite Mexico’s upbeat data, ahead of Fed’s decision

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Mexican Peso trades sideways despite Mexico’s upbeat data, ahead of Fed’s decision
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Mexican Peso (MXN) trades almost sideways against the US Dollar (USD) early morning during Tuesday’s North American session amid month-end flows and despite good economic data from Mexico.

Mexican Peso remains unable to print a daily close below the 18.00 mark. Mexico's economy shows resilience as Gross Domestic Product expands for an eighth straight quarter. USD/MXN continues to exchange hands above the crucial 18.00 level, with geopolitical risks and month-end flows impacting the pair. In addition, geopolitical risks remain as Israel disregards a cease-fire in Gaza, deteriorating investors' sentiment. Consequently, the USD/MXN continues to exchange hands above the 18.

25% in September and revised its inflation projections from 3.50% to 3.87% for 2024, above the central bank’s 3.00% target . Next decision will be announced on November 9. Technical Analysis: Mexican Peso buyers target the 200-day Simple Moving Average The USD/MXN uptrend remains intact despite Friday’s dip below the 18.00 figure, which puts the 20-day Simple Moving Average at 18.10 at risk of being decisively broken to the downside.

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