# Mexican Peso prolongs gains on strong demand, Banxico's decision, and soft US inflation — Octa

> The peso strengthened against the dollar after Banxico held its policy rate at 11.25%, ruled out rate cuts this year and raised its 2024 inflation forecast to 3.87%. Softer US core PCE inflation of 3.9% year on year in August also weighed on the dollar.

- Date: 2023-09-29 · published 2023-09-29T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/34345-mexican-peso-prolongs-gains-on-strong-demand-banxico-s-decision-and-soft-us
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A stronger peso lowers the local-currency cost of dollar-priced US feed imports, while the higher-for-longer rate stance supports the peso.

## Read by commodity

- USDMXN: bearish ▼

## Sources

- octaafrica.net: https://www.octaafrica.net/markets/news/view/1068288/
- teletrade.org: https://www.teletrade.org/analytics/market-analysis/market-news/3905823

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.