EUSC - Election News Lift India But Weigh On Mexico
2024-06-03 07:20:00 ET
Summary
- The dollar has returned from the weekend with a better bid tone.
- A dramatic victory for the Morena party in Mexico, which could allow constitutional changes, has spurred sales of the Mexican peso.
- The Indian rupee is stronger as Modi appears to have broadened his support since the 2019 election.
Overview
The dollar ([[DXY]], [[USDOLLAR]]) has returned from the weekend with a better bid tone. It is firmer against all the G10 currencies but the yen, Swiss franc, and Swedish krona, which are marginally firmer. The market seems reluctant to extend the euro or Canadian dollar upticks ahead of the central bank meetings this week, though, ironically, sterling's 0.25% decline leads the major currencies. Election news is a key driver today. A dramatic victory for the Morena party in Mexico, which could allow constitutional changes that eluded AMLO has spurred sales of the Mexican peso. It is the worst performing EM currency, getting clocked for more than 2%. A coalition government is necessary in South Africa, and it is seen constructively. The rand is up about 0.25% and is one of the strongest EM currencies today. The Indian rupee is stronger as Modi appears to have broadened his support since the 2019 election....
Election News Lift India But Weigh On Mexico