# USD/MXN: Failure of Banxico to follow the Fed to see the peso coming under pressure – ING: Analytics and Market news from 22 April 2022 07:04

> ING warns that Banxico has not matched the Federal Reserve's tightening pace, which normally keeps USD/MXN stable via a 600bp spread. Mexico's policy rate is 6.50% while markets price a higher path as the Fed tightens about 300bp. ING expects the peso to come under pressure, though it sees Mexico as better positioned than South Africa.

- Date: 2022-04-22 · published 2022-04-22T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/42058-usd-mxn-failure-of-banxico-to-follow-the-fed-to-see-the-peso-coming-under
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A weaker peso lowers the cost of Mexican imports and can shift feed demand patterns for US exporters; the currency move is mainly a macro signal for Mexican buyers' purchasing power.

## Read by commodity

- USDMXN: bullish ▲

## Sources

- teletrade.org: https://www.teletrade.org/analytics/market-analysis/market-news/3748640

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