USD/MXN: Mexican peso to strengthen along 2021 – MUFG
|During 2020 the Mexican Peso weakened from 18.896 to 19.907. There are several hot topics to be monitored during 2021 but, all in all, economists at MUFG Bank expect MXN to appreciate over this new year.
Key quotes
“For 2021, we need to monitor the vaccine rollouts in Mexico and the US, the USMCA trade deal that is unlikely to be revised, but attention will increasingly turn to the trade deal’s labor and environmental standards, and June 2021 mid-term election at Lower House and there will also be 15 out of 32 gubernatorial races in Mexico. At last, the stance of government policies needs to be followed with focus on the energy sector, and social and infrastructure plans.”
“Considering no rupture of foreign relations and no radical government decisions, we see room for some MXN appreciation during 2021.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.