The dollar ended the week below peso 20, on a day when capital markets saw little change and are preparing for a long weekend due to President’s Day in the United States next Monday.
With this, the Mexican currency turned its second week of advantages against the dollar. Bee weekly balance, the currency’s appreciation was 0.9 percent, making the exchange rate according to data from the Bank of Mexico (Banxico) it was 19.96 units per dollar.
On day, the peso valued 0.05 percent.
In sofa window, the dollar is selling for 20.53 pesos, according to Citibanamex.
The currency hit a maximum of 20.08 pesos per dollar at 3:16 am; the session minimum was observed in 19.9074 pesos, at 11:26 am.
The andice Bloomberg, which measures the dollar’s strength against a basket of ten currencies, gained 0.03 percent to 1,123 points.
Investors were alert to the news surrounding Janet Yellen and Jerome Powell’s meeting with the G7, as well as the evolution of the approval of the US tax incentives and the Deposition of Donald Trump, the publication of consumer confidence in the latter country and business reports.
Yellen stressed the need for the group of 7 (G7) countries to “get big” with fiscal stimulus to support the economic recovery from the global pandemic.
On the other hand, a committee of the US House of Representatives on Thursday afternoon approved measures yielding $ 593.5 billion in benefits. Most of these resources would be earmarked for direct transfers of EUR 1.4 billion. This brings approval of the stimulus package closer, with the lower house likely to vote on 22 February.
Separately and in accordance with information from Grupo Financiero Banorte, de European Union It will work to convince the United States that both are aligned in their foreign trade policy priorities, trying to counter China’s influence through the World Trade Organization (WTO).
At the local level, Banxico cut the reference rate by 25 basis points to place it at 4 percent. The decision was unanimous.
“In this context, we reiterate our expectation of two additional 25 basis point cuts, one at the March 25 meeting and the last on May 13, bringing interest rates to 3.50 percent,” Banorte analysts said.
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