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.
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.
