USD/MXN: Peso recovers after Friday’s slide

The Mexican peso is rising on Monday against the US dollar, recovering most of Friday’s losses. 

Retreating from 19.10

News on Friday that the FBI was reopening Clinton’s email case, pushed the USD/MXN sharply to the upside. The pair peaked at 19.10 and ended the week around 18.95. Today it opened above 19.00 but showed exhaustion and started to decline. 

The retreat accelerated and during the current American session the pair bottomed at 18.78, level located modestly above where it was before the FBI report. 

Trump, Fed, NFP and Mexican GDP

USD/MXN is trading around 18.85. Volatility in the pair is likely to remain high during the next days. One source of price action moves continues to be the US presidential elections. We are now 8 days aways. 

Also, there will be key economics event in the US. On Wednesday, the Federal Reserve will announce its decision and on Friday, the US Labour Department will release the October employment report. Those events are likely to impact on the US dollar. 

Today, it was reported that the Mexican economy grew at a 1.0% rate during the third quarter, that is the highest since 2014 and modestly above expectations and it represents a rebound after the -0.2% contraction in the previous quarter. The annual rate dropped to 2.0%, the lowest since also 2014.