The US dollar closed at 16.89 pesos on the market, marking a slight increase of 0.05% compared to the previous session’s closing rate of 16.88 pesos. Over the past week, the dollar has seen a decrease of 1.47%, bringing the year-on-year decrease to 5.41%. This interruption in the upward trend follows four consecutive days of increases, with lower volatility compared to the previous year.
The Bank of Mexico (Banxico) has forecasted that the dollar will sell between 17.68 and 18.67 pesos throughout 2024, with inflation expected to decrease to 4.02% after reaching a peak of 8.7% in late 2022. Despite the positive outlook on inflation, the GDP growth forecast for 2024 stands at 2.29%.
The Mexican peso, the legal tender of Mexico, is currently the fifteenth most traded currency in the world. It is the most traded currency in Latin America and the third most traded on the continent, behind the US and Canadian dollars. The symbol for the Mexican peso, $, was the first to use the symbol which was later adopted by the United States for the dollar. Coins and bills in circulation include denominations of 1, 5, 10, and 20 pesos, along with bills of 20, 50, 100, 200, 500, and 1,000 pesos.