Mexican Peso Spikes Up To Near 3-week High Vs U.S. Dollar On NAFTA Optimism

The Mexican Peso drifted higher against the U.S. dollar in early New York deals on Monday, following media reports that the U.S. and Mexico have concluded negotiations on the North American Free Agreement and agreed on key issues, with an announcement expected later in the day.

The U.S. and Mexico have reportedly "reached understanding on key issues" and Canada will rejoin in the negotiations.

This follows remarks from Mexican Economy Minister Ildefonso Guajardo on Sunday the U.S. and Mexico are close to resolving key differences on trade.

"I would say that we're practically in the final hours of this negotiation," Guajardo said before a meeting with U.S Trade Representative Robert Lighthizer, according to Reuters.

The Mexican Peso advanced to 18.6665 against the greenback, its strongest since August 9. Next key resistance for the Peso is seen around the 17.00 region. The pair finished last week's deals at 18.9008.