The Mexican peso is on track to record its third consecutive day of gains against the dollar, having recovered on 'Fed Day,' despite the news that the Mexican economy contracted in the last quarter of 2024. According to Bloomberg, the Mexican peso appreciated by 0.41 percent against the dollar, with an exchange rate of 20.43 units, representing a decrease of 10 cents compared to the close on January 29. Despite weak local economic figures, the exchange rate reversed its downward trend after assessing the situation and with Banxico's monetary policy meeting on the horizon for next week.
Regarding economic data, this is the first quarterly decline in Mexico's GDP since the July-September 2021 period, with a contraction of 0.6 percent, a figure that exceeded specialists' estimates, which forecasted a decline of 0.2 percent. As for the dollar price in banks, it stood at 20.92 units for sale and 19.72 units for purchase, according to Citibanamex information. Meanwhile, the dollar index (dxy) and the Bloomberg dollar index (bbdxy) decreased by 0.17 and 0.19 percent respectively.
In the money market, the yield on the 10-year Mbono in Mexico is positioned at 10.42 percent, while in the United States, the yield on the 10-year bond reaches 4.51 percent. Among the currencies that appreciated today, the Russian ruble increased by 1.02 percent, the Hungarian forint by 0.48 percent, the Chilean peso by 0.40 percent, the South African rand by 0.24 percent, and the Philippine peso by 0.21 percent.
