INSUBCONTINENT EXCLUSIVE:
The Mexican peso strengthened against the U.S
dollar on Friday, marking a positive end to the week
This recovery came after a local holiday.Investors are gearing up for a significant week ahead regarding monetary policy decisions from both
the Federal Reserve and the Bank of Mexico
At the close of trading, the exchange rate stood at 20.1281 pesos per dollar.This represented a gain of 7.71 cents, or 0.38%, compared to a
reference price of 20.2052 pesos recorded by LSEG the previous day
Notably, there was no official exchange rate published by the Bank of Mexico (Banxico) on this day.Throughout Friday, the dollar fluctuated
between a high of 20.2647 pesos and a low of 20.1099 pesos
Dollar Index (DXY), which measures the dollar against a basket of six currencies, increased slightly by 0.04% to reach 107.00
They noted that weak local industrial production figures reinforced expectations for potential interest rate cuts by Banxico.Mexican Peso
Drops 4% in Two Weeks in U.S.Pre-Election Slide
(Photo Internet reproduction)On Wednesday, the Federal Reserve will announce its monetary policy decision following a two-day meeting
its own interest rate announcement on Thursday
Analysts anticipate a similar cut due to decreasing inflation rates.Renato Campos from Squared Financial emphasized that declining inflation
allows central banks to focus on growth risks
Analysts from Golden Capital FX observed that the dollar has shown a downward trend against the peso in recent weeks.It appears to be
forming support around the 20.10 peso mark
They also highlighted the significance of upcoming economic events that could influence market dynamics further.
