# Brazil, Mexico currencies both rebound but real has more legs than peso | Financial Post

> The Brazilian real and Mexican peso both rebounded strongly from pandemic lows, but their rallies began to diverge. The peso ran out of steam after appreciating about 15% since mid-April, while the real gained momentum after rebounding more than 20% from a record low. The real was on track for its biggest weekly gain since 2008.

- Date: 2020-06-05 · published 2020-06-05T12:00:00.000Z
- Category: market · region Latin America · magnitude low
- Page: https://feedsoft.ai/events/7617-brazil-mexico-currencies-both-rebound-but-real-has-more-legs-than-peso
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md), [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

Stronger Brazilian and Mexican currencies reduce the local cost of dollar-priced feed and fertilizer imports. Divergence between the two suggests country-specific risks matter for buyers in each market.

## Read by commodity

- USDBRL: bearish ▼
- USDMXN: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| USDBRL | 2020-06-08 | 5 | -9.1% | -4.2 | The real was on track for its biggest weekly gain since 2008 with momentum from risk-on flows, describing the same window's appreciation. |

## Sources

- financialpost.com: https://financialpost.com/pmn/business-pmn/brazil-mexico-currencies-both-rebound-but-real-has-more-legs-than-peso
- reuters.com: https://www.reuters.com/article/business/brazil-mexico-currencies-both-rebound-but-real-has-more-legs-than-peso-idUSKBN23C2DT/

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