MXN: Banxico meeting a non-event; NAFTA talks still in warm-up phase - ING

Banxico meet today but ING’s Gustavo Rangel is looking for policy to remain on hold (7%) ahead of July-18 Presidential election.

Key Quotes

“With the third round of NAFTA negotiations concluding yesterday, the hope remains that swift progress will see talks completed by 1Q18. However, the lack of clarity on the US administration’s proposals make it hard to gauge if a compromise solution is truly within reach. In general, less supportive peso drivers could see USD/MXN at 18.50 fairly soon.”