Overview
The Mexican peso continues its advance against the US dollar on Wednesday morning, driven by improved sentiment in global markets and anticipation of a high-level US-China meeting over the weekend.
Current Exchange Rate
The spot exchange rate is currently at 19.5504 pesos per dollar, marking a gain of 5.46 centavos or 0.28% compared to the official closing rate of 19.6050 pesos on Tuesday, according to data from Mexico’s central bank (Banxico).
The dollar’s movement ranges from a high of 19.6233 pesos to a low of 19.5127 pesos, while the Intercontinental Exchange’s Dollar Index (DXY) rises 0.27% to 100.18 units.
Inflation Data
Mexico’s National Consumer Price Index increased by 0.33% in April, reported by the National Institute of Statistics and Geography (INEGI), slightly above expectations. The underlying inflation, which excludes volatile prices, stood at 0.49%.
US Trade Developments
President Donald Trump announced on his social media platform, Truth Social, that he would sign a trade agreement with the United Kingdom later in the day. Markets reacted positively after learning about a dialogue with China this weekend in Switzerland.
Analyst Insights
“Today, the Mexican peso continues its weekly appreciation, driven by the dollar’s correction and anticipation of Mexico’s consumer price report for April, which showed a slight uptick,” said analysts from Monex.
Key Questions and Answers
- What is driving the Mexican peso’s advance? Improved sentiment in global markets and anticipation of a high-level US-China meeting over the weekend are fueling the Mexican peso’s rise against the US dollar.
- What are the current exchange rates and trends? The spot exchange rate is at 19.5504 pesos per dollar, with the dollar trading between 19.6233 and 19.5127 pesos. The Dollar Index (DXY) is at 100.18 units.
- What recent economic data has been released in Mexico? The National Consumer Price Index rose by 0.33% in April, with underlying inflation at 0.49%.
- What are the latest developments in US trade? President Donald Trump announced a trade agreement with the United Kingdom and positive market reactions followed news of a dialogue with China this weekend in Switzerland.
