USD/MXN: Opportunity to target 16.40 in six to nine months – SocGen
Source Fxstreet
The Mexican Peso (MXN) is down about 1.3% vs. the US Dollar (USD) – spot basis and flat year-to-date on total basis – so far in 2024. Strategists at Société Générale analyze MXN outlook.
Banxico to launch easing cycle in March
Our EM strategists remain optimistic on the Peso and continue to favour buying MXN dips.
We expect the central bank to implement gradual easing, starting with a 25 bps cut in March and then a cumulative -250 bps to 8.45% by end-2024 against implied pricing of around 9.50%.
We see an opportunity target 16.40 in six to nine months thanks to structural domestic tailwinds of nearshoring and high remittances, and high carry-to-vol. The caveat is US tariffs and an overshoot of US bond yields.
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
Once again, the price of Ethereum (ETH) has risen above $3,900. This bounce has hinted at a further price increase for the altcoin before the end of the year.
After a turbulent 2025, what lies ahead for commodities, forex, and cryptocurrency markets in 2026?
Silver price corrects almost 6% to near $86.50 during the Asian trading session on Thursday.
Gold Price Forecast: XAU/USD surges to all-time high above $4,650 amid Greenland tariff threatsGold price (XAU/USD) rises to a fresh record high near $4,675 during the early Asian session on Monday. The precious metal gains momentum after US President Donald Trump said he would slap tariffs on eight European nations that have opposed his plan to take Greenland.
Gold price (XAU/USD) rises to a fresh record high near $4,675 during the early Asian session on Monday. The precious metal gains momentum after US President Donald Trump said he would slap tariffs on eight European nations that have opposed his plan to take Greenland.
Meme Coins Price Prediction: DOGE, SHIB and PEPE tumble with Bitcoin, as support levels come into focusDOGE, SHIB and PEPE extend Monday losses as BTC drops below $93,000; DOGE stays under $0.1375/$0.1417 EMAs, SHIB eyes $0.00000678 support, and PEPE risks a slide below $0.00000500 toward $0.00000363.
DOGE, SHIB and PEPE extend Monday losses as BTC drops below $93,000; DOGE stays under $0.1375/$0.1417 EMAs, SHIB eyes $0.00000678 support, and PEPE risks a slide below $0.00000500 toward $0.00000363.
Related Instrument
