USD/MXN: Mexican Peso eyes biggest monthly decline since May 2008

• The Mexican Peso is eyeing the biggest monthly loss since May 2008. 
• Mexico has declared health emergency as the number of virus cases has crossed above 1,000.

Mexico's Peso (MXN) is on track to register its biggest monthly loss in over a decade.

The MXN is currently trading at 23.8141 per US dollar, representing a 21% decline from the opening rate of 15.5995 per dollar observed on March 3. The currency last witnessed over a 21 percent decline in May 2008.

The latest double-digit decline could be associated with the coronavirus outbreak across the globe and in Mexico and the resulting fears of a global recession. Further, the oil price decline added to MXN's woes. The black gold is currently reporting over 50 percent losses on a month-to-date basis.

Mexico declares emergency

Mexico's Peso could continue to lose ground in the near-term as the government has announced a health emergency in response to the number of coronavirus cases passing 1,000.

Health officials reported a total of 1,094 cases of coronavirus on Monday, up from 993 a day earlier and 28 deaths from the virus, up from 20, according to Reuters News.

Mexico has also extended a suspension of non-essential activities to April 30. That could cause a substantial decline in the activity across various sectors of the economy.

Technical levels