MXN

Currency markets are trading cautiously as participants prepare to close the books on 2025, with many cutting exposure ahead of a week laden with economic data and central bank event risks. The dollar is adding to last week’s losses amid a debate over whether the next meaningful move comes from a narrowing in cross-currency rate differentials or a hawkish repricing in US growth expectations, trading volumes are turning choppy amid year-end rebalancing flows, and measures of implied volatility are showing a small uptick as investors prepare for unexpected moves. Here in North America, a number of key data releases are...

The dollar is tumbling against most of its major rivals after a private-sector report showed employers slashing payrolls by far more than anticipated, raising market-implied odds on a third consecutive rate cut at the Federal Reserve’s December meeting. According to the Challenger, Gray, and Christmas job cut report—not typically a market-moving release—businesses laid off 153,074 people in October, up 175 percent from the 55,597 announced in the same month last year, and up sharply from the 54,064 announced in September. Policy-sensitive two-year Treasury yields are back below the 3.6-percent mark, equity futures are setting up for incremental gains at the...