During the daily press briefing of Andres Manuel Lopez Obrador, it was announced that Mexico will receive 1.4 million doses of the vaccine by the end of January. Is that optimistic enough for the peso?
Asian currencies are steady
On Wednesday, Asian currencies managed to maintain their strength notwithstanding the Chinese Yuan kept dropping versus the greenback and the Philippine peso kept to 11-year minimums.
In Asia, the Philippine peso has been opposing the ascending trend. For instance, on Tuesday this currency reached an 11-year minimum after trade deficits for May turned to be wider than expected and the country's major financial institution suggested that the country would face a first full-year current account deficit since 2003.
On Wednesday, the peso stuck to its record minimums versus the evergreen buck notwithstanding earning a tiny amount of ground in morning trade. The currency pair USD/PHP slumped 0.02%, with one dollar currently purchasing PHP50.760.
In China, home prices inched up in 60 of the country’s 70 markets, tracked by the government. In spite of the fact leaps were visible in most cities, they mostly dived in the key centers, including Beijing, as the National Bureau of Statistics states.
The currency pair USD/CNY added 0.09%. China’s major currency has been losing ground versus the US dollar for more than a week. On Wednesday, the PBOC set the reference rate for the Yuan at CNY6.7495.
The Canadian central bank will make a monetary policy report and announce interest rates on Wednesday, January 20, at 17:00 MT time. Also, the BOC press conference will be held later.
USD’s rally takes a pause, while riskier assets are modestly rising.
We are now past the middle of January, and this means that the largest US companies will report their earnings for the fourth quarter and many of them will provide the results of the entire 2020.