Background on the Mexican Peso and its Recent Performance
The Mexican peso has been on an upward trend, appreciating against the US dollar for three consecutive days. This surge has brought the Mexican currency to its strongest level since mid-October 2024, according to official data from Banco de México (Banxico).
Key Figures and Context
- The Mexican peso closed at 9.2757 per dollar, marking a 0.23% appreciation.
- This is the best level since October 4, 2024, when it was at 19.2587 pesos per dollar.
- The peso has gained 1.2% over the past three days.
- Year-to-date, the Mexican peso has appreciated by 7.70%.
Global Dollar Performance
The US dollar index (dxy), which measures the strength of the US dollar against a basket of six major currencies, has dropped by 7.82% this year, standing at 100.1 points.
Top and Bottom Performing Currencies in 2025
- Russian ruble: 28.62%
- Swedish krona: 12.82%
- Norwegian krone: 9.78%
- Swiss franc: 8.76%
- Euro: 8.25%
- Brazilian real: 8.24%
- Danish krone: 8.22%
- Japanese yen: 8.18%
- Taiwanese dollar: 8.01%
- Mexican peso: 7.70%
Meanwhile, the Australian dollar (-0.88%), New Zealand dollar (-0.47%), South Korean won (-0.33%), Indian rupee (-0.27%), and Hungarian forint (-0.27%) have experienced depreciation.
Experts’ Opinions on Dollar Weakness
Jorge Gordillo Arias, director of Analysis at CIBanco, stated: “The Mexican peso continues to strengthen and reached its best level since mid-October of the previous year. With a generalized dollar decline, the scenario remains similar to recent sessions, and operators are absorbing new comments from Fed members.”
Alberto Musalem, president of the Federal Reserve of San Luis, mentioned that tariffs would likely affect the US economy and weaken the labor market even after the May 12 China trade truce.
Quasar Elizundia, an analyst at Pepperstone, said: “The US dollar is currently at the epicenter of financial turbulence, suffering significantly from Moody’s recent decision.”
Key Questions and Answers
- Q: Why is the Mexican peso appreciating against the US dollar?
A: The peso is gaining strength due to a generalized decline in the US dollar, fueled by risks associated with Moody’s credit rating downgrade for the US economy.
- Q: What are the top-performing currencies in 2025?
A: The russian ruble leads with a 28.62% appreciation, followed by the Swedish krona (12.82%), Norwegian krone (9.78%), Swiss franc (8.76%), Euro (8.25%), Brazilian real (8.24%), Danish krone (8.22%), Japanese yen (8.18%), Taiwanese dollar (8.01%), and Mexican peso (7.70%).
- Q: Which currencies have experienced depreciation in 2025?
A: The Australian dollar (-0.88%), New Zealand dollar (-0.47%), South Korean won (-0.33%), Indian rupee (-0.27%), and Hungarian forint (-0.27%) have weakened.
- Q: What are experts saying about the US dollar’s weakness?
A: Experts like Jorge Gordillo Arias and Alberto Musalem attribute the dollar’s weakness to trade tensions affecting the US economy and labor market. Quasar Elizundia from Pepperstone highlights Moody’s credit rating downgrade as a significant factor.
