USD/MXN falls to 17.18 as weaker US employment figures fuel Fed rate cut bets for 2026.
The Mexican Peso surged to a five-month high against the US Dollar, trading at 17.18, after weaker-than-expected US jobs data dented the greenback. The move reflects growing speculation that the Federal Reserve may refrain from raising interest rates in 2026, boosting risk appetite.
Prior to the report, USD/MXN had hovered near 17.30, with traders closely monitoring US economic indicators for Fed policy clues. The pair last touched similar lows in early March, before a rebound in the Dollar.
The shift in sentiment weighed on the Dollar broadly, as investors recalibrated expectations for monetary policy easing.