On the last trading day of 2023, the Mexican Peso (MXN) is making a recovery, gaining ground modestly. This bounce follows a late day upward move in the US Dollar on Thursday, prompted by a temporary spike in US Treasury yields that led to a brief pause in risk appetite across the broader market. However, a reversal later on Friday brought the US Dollar back down, maintaining its overall bearish trend.

Market sentiment improved on Friday, contributing to the Mexican Peso returning to familiar levels as the 2023 trading year comes to a close. Following Friday’s release of MXN Fiscal Balance data, economic data from Mexico will be on hold until Consumer Confidence figures are published on January 8.