That said, the Mexican Peso pair dropped 0.15% on Wednesday even as Mexico’s inflation data for July came in softer than expected but were mixed when compared to the previous readings.USD/MXN drops as inflation cools down in Mexico, traders eye Banxico’s monetary policy decision
While portraying the options market bias, the one-month Risk Reversal of the USD/MXN pair, a measure of the spread between call and put prices, dropped the most in a month to -0.065 by the end of Wednesday’s North American trading session. Elsewhere, the US Dollar Index lacks clear directions near 102.50 after snapping a two-day losing streak as markets await the US inflation data, per the Consumer Price Index for July. Analysts’ expectations suggest an improvement in the headline CPI to 3.3% YoY versus 3.0% prior while the Core CPI, namely the CPI ex Food & Energy, may remain unchanged at 4.8%.Information on these pages contains forward-looking statements that involve risks and uncertainties.