Mexican Peso Posts Huge Rally As 3rd Presidential Debate Ends.

Mexican Peso stages an impressive rally as the Presidential Debates comes to an end.

The Mexican Peso is probably the highest beta currency to the US Presidential Elections. Being sold aggressively through the primaries and the start of the campaign as Trump’s anti-NAFTA rhetoric weighed upon it, laterally rallying as The Donald’s ability to shoot himself in the foot, and inability to move the polling needle saw sighs of relief south of the United States border.

This morning’s 3rd debate was probably his best showing so far, but the move in USD/MXN lower implies the market thinks he has done nowhere near enough.

USD/MXN in the last 45 minutes has plunged from 18.5600 to 18.4600 easily breaking the  18.5000 psychological support level.

USDMXN15

In the bigger picture, the next support level on the daily charts is in the  18.2500 regions. Although November 8th is still a fair way away, the Mexican Peso’s rally this morning implies the market thinks the result in no longer in doubt.

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Jeffrey Halley

Jeffrey Halley

Senior Market Analyst - Asia Pacific
With more than 30 years of FX experience – from spot/margin trading and NDFs through to currency options and futures – Jeffrey Halley is OANDA’s senior market analyst for Asia Pacific, responsible for providing timely and relevant macro analysis covering a wide range of asset classes. He has previously worked with leading institutions such as Saxo Capital Markets, DynexCorp Currency Portfolio Management, IG, IFX, Fimat Internationale Banque, HSBC and Barclays. A highly sought-after analyst, Jeffrey has appeared on a wide range of global news channels including Bloomberg, BBC, Reuters, CNBC, MSN, Sky TV, Channel News Asia and the New York Times. He was born in New Zealand and holds an MBA from the Cass Business School.
Jeffrey Halley