Title: Mexican Peso Continues to Strengthen against the American Dollar
Mexico City – The Mexican peso has reached its highest level since December 2015 against the American dollar for the third consecutive session. Despite low liquidity due to the Independence Day holiday in the United States, the peso’s surge has caught the attention of investors.
The spot exchange rate currently stands at 17.0221 pesos per dollar, indicating a significant gain of 3.03 cents or 0.18% compared to the official closing rate of 17.0524 units recorded yesterday, according to data from the Bank of Mexico (Banxico). This remarkable surge in the Mexican peso has not been witnessed in over five years.
The dollar-peso cross has been trading within a narrow range, oscillating between a high of 17.0622 units and a low of 17.0205 pesos. The lower end of this range is the lowest recorded level since December 2015. Meanwhile, the Dollar Index (DXY) of the Intercontinental Exchange, which compares the dollar’s performance against six global currencies, has slipped by 0.06% to reach 102.93 units.
Market participants continue to analyze the impact of a recent weak report on the US manufacturing sector, which has raised questions about the Federal Reserve’s next course of action. Traders eagerly await crucial economic data releases throughout the week.
On Thursday, the minutes of the most recent Banco de México monetary policy meeting will be made public, offering further insights into the central bank’s stance. Additionally, monthly data on local inflation will also be released on the same day. To round off the week, investors will closely monitor the US Nonfarm Payroll numbers, set to be revealed on Friday.
Analysts at Monex Grupo Financiero believe that the current parity between the Mexican peso and the American dollar is likely to persist, supported by a stable sideways movement. They anticipate that this trend will continue until the publication of the June employment report for the United States on Friday.
As the peso’s strength against the dollar persists, Mexican traders and investors remain hopeful for further positive developments in the country’s economy.
For more information, contact:
Jose Rivera
[email protected]
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