The Mexican peso weakened on Tuesday, extending losses from the previous session, as the dollar strengthened globally amid rising expectations that Federal Reserve (The Fed) will keep interest rates higher for longer.
The national currency was quoted at 17.76 per dollar.with a decrease of 0.58% compared to the base price Reuters on Monday, when it weakened by 1.5%, the market is also awaiting the release of the Job Offer and Labor Rotation Survey (JOLTS) in the US.
“If the data is below expectations, it can give you deferment from the Mexican peso; On the contrary, a higher-than-expected figure will exacerbate losses,” local firm CIBanco said in a research note.
This morning, Atlanta Fed Chairman Raphael Bostic said there was no need for the US central bank to raise rates again now that the economy is slowing and inflation is falling, but it will likely be a long time before it cuts rates.
Mexican stock market fell on Tuesday after overseas markets, with rising U.S. Treasury yields dampening global appetite for risk assets.
The leading S&P/BMV IPC index of the most traded stocks in the domestic market fell 0.40% to 51,054.24 points.
Miner’s titles Mexican group They led the decline, down 1.98% to 81.71 pesos, followed by shares of tycoon Carlos Slim’s Grupo Financiero Inbursa, which fell 1.88% to 33.90 pesos.
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.