Mexican Peso nosedives on Sheinbaum’s victory and Morena majority concerns

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Mexican Peso nosedives on Sheinbaum’s victory and Morena majority concerns
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The Mexican Peso plunges against the US Dollar during the North American session following Dr.

Mexican Peso falls sharply after Dr. Claudia Sheinbaum’s victory and Morena’s majority in Congress. Concerns rise over potential constitutional changes and market stability, impacting investor sentiment toward the Peso. Sheinbaum pledges to maintain financial discipline and Bank of Mexico autonomy, but market remains wary. Claudia Sheinbaum’s overwhelming victory in Mexico ’s presidential election.

The futures markets suggest the Federal Reserve might cut rates by 31 basis points in 2024, according to December’s 2024 fed funds future rate contract. Technical analysis: Mexican Peso depreciates as USD/MXN rallies above 17.50 The USD/MXN downtrend begins to be threatened due to political uncertainty. That has lifted the exchange rate above the 200-day Simple Moving Average of 17.15, opening the door to push the spot prices toward a one-month high of 17.73.

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