Mexican peso to follow global events

The Mexican peso will likely continue moving to the tune of global market gyrations with all eyes looking at Greece. The peso reacted in line with LatAm FX markets that in spite of seeing volatility episodes, still fared better than those EM markets that have closer connec-tions to Greece.

The peso closed at USD-MXN 15.69 on Monday which equates to around 0.8% loss vs. the USD. From a domestic perspective, local data should be on the backburner during the week with the IMEF manufacturing index for June likely capturing attention given its importance to predict manufacturing activity (automobile assembly in particular) and export performance. This indicator will be released on Wednesday.