Global pressures exerted by Donald Trump continue to weaken the Mexican peso. On this Monday, the currency reached a new low against the dollar not seen since July 2024. According to data from the Bank of Mexico (Banxico), at the close of trading, the exchange rate stood at 17.58 units per dollar, with a high of 17.63 and a low of 17.57 units. This marks the fifth consecutive week of depreciation for the Mexican currency. The dollar's advance occurred on a day of low liquidity due to the U.S. holiday, in a context of smaller gains for the dollar amid uncertainty over the country's trade direction and tensions with the Federal Reserve. However, the peso's strengthening is also explained at the start of this week by geopolitical tensions now surrounding Greenland and President Trump's new tariff threat towards Europe for attempting to secure the island. The market is also preparing for key announcements in Mexico: this week, Inegi will release the first inflation data for the year, next week it will confirm GDP growth for 2025, and in the first week of February, Banxico will announce its new monetary policy decision amid a credibility crisis.
