EconomyThe Mexican peso falls at the open due to...

The Mexican peso falls at the open due to investor caution

The Mexican peso traded with losses in the early hours of Tuesday, in the face of a climate of caution among investors due to the global economic outlook and the strength of the dollar.

dollar to peso exchange rate

The Mexican currency was trading, according to Bloomberg, at 19.9109 pesos per dollar on Tuesday morning. That is, a loss of 0.17% compared to the price of 19.8752 pesos per dollar with which the exchange rate closed on Monday, according to data from the Bank of Mexico.

The local currency appeared to have little room for appreciation on the day, Banorte analysts said in a note sent to clients.

The peso weakened the previous day in line with other currencies in the region, due to a general wave of risk aversion after weak economic data from China.

The financial markets are attentive to the series of economic reports that emerge from the United States and that could provide more clues about the health of its economy, amid fears of a recession.

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Although the Mexican currency suffered a slight depreciation at the opening of this Friday, it continues at levels that could consolidate in a downward trend, but a rebound is not ruled out.

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The exchange rate recorded its fourth day of appreciation and closed at 19.8873 pesos per dollar, its best level since September 12.

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While signs on monetary policy are expected in the United States, Canada, Brazil and Europe, the Mexican peso advances slightly this Tuesday.

The 9 worst depreciations of the Mexican peso in recent history

Among the strongest falls in the national currency are those caused by the covid-19 pandemic, in 2020, and the one that triggered the Trump phenomenon during the government of Enrique Peña Nieto.

Isn't everything so bad? The peso would show weakening, but not as Moody's indicates

Analysts in Mexico estimate that the peso could find a ceiling at levels of 20.30 units, since there are no serious elements that allow a strong depreciation of the local currency to be perceived.

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