🐍🦅 Peso Attractiveness Diminished Into Banxico Rate Decision: Cable FX Macro

• We're set to hear from Banxico on Thursday session, expectations see the central bank holding rates steady

• Heading into the event, the Mexican peso tracks the worst carry return in a group of major currencies, the 1-month return stands at -4.02%

• Implied volatility has increased since the Summer, the 1-month tenor is reading a 13.10%, however, this is off the highs seen this month. The rise in MXN implied vol will likely decrease peso attractiveness