The Mexican peso spot rate rose 2.3% to the dollar in July, this was the seventh straight month of gains for the peso, which comes to match the longest winning streak since 2008
A CPI based REER measure by J.P. Morgan extended by 1.3% in July, the MXN real exchange rate index has increased every month so far this year. The J.P. Morgan MXN CPI Based REER Index is now at the highest level since 2008
The emerging market space is led by LatAmFX YTD, the Mexican peso 16.5% advance follows a 23.6% rise in the Colombian peso, the real tracks gains of 11.8%
Analysts at Scotiabank currently pencil Banxico ending the year with a policy rate of 11.0%, they forecast about 300bps of rate cuts by next year to 8.25%. This projection compares to their 650bps rate cut call for the Colombian central bank and 300bps for the Brazilian central bank


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