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13 Apr 2015
USD/MXN posts another strong daily gain
FXStreet (Córdoba) - The US dollar rose for the third consecutive trading session against the Mexican peso and closed at the highest level in almost a month. Since last week the pair has risen 3%.
USD/MXN bottomed back in April 2 at 14.750, the lowest level in two months but then climbed back above 15.000 and started to rally. It rose from 14.900 and today peaked at 15.372, the highest since March 18.
“After strengthening for nearly an entire month, the Mexican peso abruptly reversed its trend last week. Beyond the broad-based dollar strength, the peso was also hurt by a disappointing industrial output report, which came out at just 0.2% m/m in February, below expectations of a 0.4% rise”, said Matt Weller. Senior Technical Analyst on FOREX.com.
According to him, Mexico is in for relatively disappointing growth in first quarter growth like the United States. “With the Fed seemingly on track to hike interest rates later this year, USDMXN may make another run for its all-time high around 15.60.”
USD/MXN bottomed back in April 2 at 14.750, the lowest level in two months but then climbed back above 15.000 and started to rally. It rose from 14.900 and today peaked at 15.372, the highest since March 18.
“After strengthening for nearly an entire month, the Mexican peso abruptly reversed its trend last week. Beyond the broad-based dollar strength, the peso was also hurt by a disappointing industrial output report, which came out at just 0.2% m/m in February, below expectations of a 0.4% rise”, said Matt Weller. Senior Technical Analyst on FOREX.com.
According to him, Mexico is in for relatively disappointing growth in first quarter growth like the United States. “With the Fed seemingly on track to hike interest rates later this year, USDMXN may make another run for its all-time high around 15.60.”