The US dollar is declining against the Mexican Peso for the eighth day in a row as investors digest the effects of the Federal Reserve’s relaxed stance towards cutting stimulus and fighting inflation.
The USD/MXN traded lower on Monday. The pair tested the 19.80 level as a continuation of the July 29 break of the dynamic uptrend support line from June 9. The dollar is currently trading at 19.8075 against the Mexican peso, down 0.38 percent.
Investors are still digesting the Federal Reserve‘s monetary policy decision made last week. According to the American central bank, the United States economy is doing well, but the progress is not significant enough to justify a tapering in the near future.
The dollar index extended its decline after the Federal Reserve’s announcement, and it is now trading around 91.98, down 0.11 percent on Monday. Previously, DXY traded at 91.78 on July 30, its lowest level in over a month.