The Mexican peso recorded a new record against the dollar yesterday, pending data from the Bank of Mexico on a new possible interest rate adjustment and before speculation that the United States Federal Reserve will no longer do the same.
In the Forex currency market, at 10:50 local time it was sold at 17.51 pesos against the 17.58 at which it closed last Friday, a gain of 0.34 percent.
With this advance, the 17.52 units registered last week were exceeded, when a level not seen in almost six years was registered, since July 2017.
Next Thursday, May 18, the Bank of Mexico will make its monetary policy announcement in which interest rates are expected to remain unchanged at 11.25 percent, thus ending the current upward cycle. The tone of the statement and the guidance for the future will be elements to which greater attention will be paid.
For Gabriela Siller Pagaza, director of Economic and Financial Analysis at Banco Base, the stability of the exchange rate is due to the fact that market participants are waiting for relevant economic information.
“In the United States, the market continues to speculate that the Federal Reserve will not raise interest rates in June, as some indicators show weakness for the economy. Today the Empire State manufacturing indicator prepared by the New York Fed was published, it was located in May at -31.8 points, showing contraction in the sector and being its worst level since January and before that date, since May 2020 ” he explained.
“The exchange rate in Mexico reached a new low in the year due to speculation that the Fed will no longer raise its interest rate. Negative data on the US economy came out today and also there is no progress on the debt ceiling negotiations, ”he added.
In exchange houses, where Juarez residents buy dollars to go shopping in El Paso, the sale of the dollar was 18.10 pesos, its lowest level so far this year.
As for banks, Afirme sold it for 18.10 pesos, Banco Azteca for 17.89, Banorte for 18.10, BBVA for 17.92 pesos, Citibanamex for 18.02 pesos, Santander for 18.20 pesos and Scotiabank for 19.00 pesos.
