BusinessMexican peso stops losses against the dollar and confirms strength

    Mexican peso stops losses against the dollar and confirms strength

    The Mexican peso managed to recover part of Thursday’s losses, closing the markets with a profit of $0.14 cents against the US dollar.

    In this way, a dollar sells for $17.15 pesos and confirms that the Mexican currency remains one of the strongest.

    For almost 10 years, the Mexican peso had not achieved such an important advance, appreciating more than 12% against the US dollar in the last year.

    Analysts have not been able to determine a decisive factor in the behavior of the Mexican peso, but have agreed on several elements, including infrastructure projects in that country by the government of Andres Manuel Lopez Obrador to attract more investment.

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    In addition, Mexico is positioned as an attractive country in the geolocation of different industries, in order to avoid again a break in supply chains, as occurred with the COVID-19 pandemic.

    Experts also point out that low inflation in Mexico and the increase in remittances to that country by immigrants living in the US help to strengthen the peso.

    Last Wednesday, this currency had its best day in eight years, breaking the barrier of $17 pesos per dollar, since it was even sold at $16.98.

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    Thursday’s decline to reach $17.24 pesos per dollar raised suspicions about the true situation of the peso, but analysts indicate that this currency will continue to fluctuate, although some believe that it has already reached its highest level of strength.

    The strengthening of the weight already exhausted his strengthand unless a very important unforeseen event occurs in favor of the Mexican currency, we will have a strengthening of the dollar in the coming weeks and months,” said Rodrigo Aguila, an analyst at Banco Suizo.

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    Keep reading:
    · Why the Mexican “superpeso” is the most liquid currency in Latin America and what does this have to do with its strength against the dollar
    Where are the immigrants who send most of their income to their families from the United States from?
    · CEMLA rules out that remittances to Mexico are connected to money laundering, because dollar shipments are reviewed “up to five times”

    Source: La Opinion

    This post is posted by Awutar staff members. Awutar is a global multimedia website. Our Email: [email protected]


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