Latin American.

america latinaLatin American currencies mostly fell on Thursday as traders bet a closely watched U.S. employment report due on Friday will strengthen the case for an interest rate increase this year. Strong U.S. economic data has boosted expectations that the U.S. Federal Reserve will soon act on rates, denting demand for higher-yielding emerging market currencies.
The Mexican peso was down 0.23% at 19.25.
The U.S. election drama and a weakening economy will knock the Mexican peso to an all-time low of 20 per dollar, a number of foreign exchange strategists forecast in a Reuter’s poll on Thursday.
The peso has slid more than 10% this year and closed at 19.2150 on Wednesday. Hedge funds have been raising their bets against the peso, according to the latest data from the U.S. Commodity Futures Trading Commission (CFTC).
Leveraged investors had a net position of 85,873 short contracts for the peso as of September 27, near a record, and volatility measures have been consistently on the rise since August.
Advertisements

About FxCox™

‎Portfolio Manager.
This entry was posted in Fx Market. Bookmark the permalink.