USD/MXN Could Fall Further if Biden Stimulus Passes

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• The USD/MXN pair has been in a sharp decline in
  the past few months.
• It has been helped by the higher oil prices and a
  weaker dollar.
• The pair could decline further because of US
  stimulus packages.

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The USD/MXN pair has been in a strong downward
trend in the past few months. It has dropped by
more than 23 from its March 2020 high of 25.77
to the current 19.63.
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weaker dollar
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The Mexican peso will benefit from US stimulus
because of the close relationship the two
countries have. For one, the US imports goods
worth more than 358 billion from Mexico.
Therefore, with the stimulus, it means that more
money will flow to Mexico since the US is a net
importer. Other countries that will benefit are
China, Canada, and the European Union.
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The weaker dollar and higher oil prices
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Oil prices support the Mexican peso here
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