Mexican Peso plunges to new yearly low amid strong US Dollar

• Mexican Peso tanks as USD/MXN rises over 1.50% weekly, reaching new yearly highs.
• US Dollar Index climbs as Treasury yields jump, boosting Greenback strength.
• Mexican economic data shows resilience, but US elections add uncertainty for emerging market currencies.

The Mexican Peso depreciated sharply against the Greenback on Friday and recorded new yearly highs of 20.29, above the former 20.22 peak late in the North American session, set to print weekly losses of over 1.50%. A busy schedule on both sides of the Bravo River saw upbeat figures in Mexico. Conversely, US job data was dismal, while manufacturing activity was contracted. The USD/MXN trades at 20.26, up by 1.20%.

Mexico’s schedule revealed that Business Confidence improved in October, while the Unemployment Rate remained below the 3% threshold. S&P Global revealed that manufacturing activity continued to expand. Foreign exchange reserves ticked higher, announced the Bank of Mexico (Banxico), which revealed its private poll that showed most economists foresee the economy growing half of the estimated in January, at a 1.4% pace.