He mexican peso falls mid-session this Tuesday, leading global losses. The local currency cuts its sharp opening decline, but remains pressured by the possibility that donald trump impose a 25% tariff on products from Mexico.
He exchange rate spot It is located at 20.6390 units per dollar. Compared with an official closing of 20.5180 units yesterday, with the data from Bank of Mexico (Banxico), the movement means a loss of 12.10 cents for the peso, equivalent to 0.59 percent.
He dollar price It falls after having earlier reached a maximum of 20.8022 pesos, touching a minimum of 20.4803. He Dollar Index (DXY), from the Intercontinental Exchange, which measures the greenback with six reference currencies, lost 0.06% to 108.02 points.
The peso is losing moderately after US President Donald Trump took office and told reporters that his team was forecasting 25% tariffs on Mexico and Canada starting February 1. The currency lost more than 1.45 percent.
The reduction of its sharp decline occurs after the president of Mexico, Claudia Sheinbaumcalled to keep a “cool head” and only abide by the decrees issued by his counterpart, which really impact the bilateral relationship, and not threats.
Even so, the peso has the worst performance among a basket of reference currencies and analysts believe that it could continue to be pressured in the coming days while waiting for light on the policies that will govern the relationship between both nations, mainly in the commercial sphere.
“The big question is whether their threats in international trade are a negotiating tactic or a prelude to a real hardening of tariff policy. Any indication in this regard could have immediate effects on the markets,” said CIBanco analysts.
