The US dollar has found itself to be a little bit stronger against the Mexican Peso during trading on Wednesday, as we go looking towards the 17.5 level. Higher yields in America mean that the US dollar needs to strengthen. The interest rate differential still favors Mexico, and I don’t really want to climb this hill.
What I’m looking for is some signs of relief in yields, and if I get that, the US dollar should turn around against the peso. The 17.5 level also features the 50-day EMA. I think that offers a little bit of a short-term ceiling, but really what we need is people to calm down first.
