He Mexican peso advanced on Friday for the seventh consecutive day, briefly challenging barrier 18 dollars, while stocks tumbled after four sessions of gains as investors digested a long-awaited report on USA which showed that consumer spending moderated in February.
The local currency was quoted on 18.0215 per dollar with gratitude 0.30% compared to Thursday’s Reuters benchmark price, which is also buoyed by expectations that Banco de México could continue to hike interest rates, according to analysts. Over the past seven sessions, he has been accumulating profits. 3.1%
Previously, the weight came to progress until 17.9920 unitslevel, which had not been seen for three weeks, before fears of banking turmoil after the bankruptcy of the American Bank of Silicon Valley affect investor sentiment.
“From a technical standpoint, the exchange rate has resumed its downward trend and it is likely that in the short term it will head towards the yearly low of 17.8981 pesos, recorded on March 9,” Banco Base said in a survey. note.
The peso was due to close the quarter with a cumulative return of 7.45%, the best performance against the dollar of any major global currency.
Thus, despite strong fluctuations in global markets during the first three months of the year, both the stock market and the currency were nearing the end of their best quarter since December 2020.
This comes after it was reported that consumer spending, which accounts for more than two-thirds of economic activity, rose by a seasonally adjusted 0.2% in February, below the 0.3% expected by the market. Meanwhile, January data was revised up to 2.0% from 1.8%.
(Reuters)
Source: Aristegui Noticias
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
