Peso Limited Reaction: Inflation Data Fails to Spark Strong Response

The Mexican peso has shown limited reaction to Mexico's preliminary inflation data, which was released today. The data showed that inflation increased by approximately 0.1% in the first half of August compared to the same period last year.

Despite this modest acceleration in price pressures, the central bank may not need to adopt a more aggressive stance as annual inflation remains within its target range of 3.0% ± 1 percentage point.

The U.S. dollar has shown some ability to recover in recent sessions, supported by expectations surrounding the upcoming Jackson Hole central banking conference and a modest increase in geopolitical caution.