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fxJun 25, 2026, 9:58 AM

Banxico Stance and Fed Risks Drive MXN Weakness – Societe Generale

Societe Generale notes Latin American currencies weakened as the dollar rebounded, with USD/MXN breaking above the 17.50 hurdle.

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According to Societe Generale strategist Kenneth Broux, Latin American currencies have come under pressure as the US dollar rebounds. The Mexican peso and Brazilian real have both weakened, with USD/MXN breaking above the key resistance level of 17.50 and USD/BRL also breaching a major hurdle. The analyst attributes the move to a combination of Banxico's monetary policy stance and risks from the Federal Reserve. The breakdown suggests further weakness for the peso in the near term.

Source: FXStreet Forex News