The Superweight breaks record… then rebounds to 16.60 units

by times news cr

2024-04-11 22:22:07

The Mexican currency surprised with a big bounce on Thursday after having descended to 16.49 units per green currency, a figure not seen for nine years, mainly due to the losses that the peso faced.

The peso closed the session trading around 16.58 pesos per dollarwith a depreciation of 0.29% o 4.8 cents, with the exchange rate reaching highs of 16.6159 and a minimum of 16.4952 pesos per dollar.

A financial report of the Base Bank revealed that there is great risk aversion globally, which led the dollar to erase all its losses towards the close of the session.

This was due after the secretary of State, Antony Blinkenwill mention that the US aims to Ukraine becomes a member of NATO at the same time as the Israeli Prime Minister Benjamin Netanyahusaid that his country will act against Iran and harm those who seek to harm it.

The comments from both officials raised risk aversion in the markets, as they suggest that the wars in Ukraine and in Middle East It can scale to a higher level, said Gabriela Siller, director of economic analysis at Base.

Meanwhile, he highlighted that the comments of the president of the Minneapolis Fed, Neel Kashkari, who said that it is possible that there will be no more rate cuts in 2024 if inflation remains high, hit the dollar.

These data caused the Mexican peso to have a great appreciation to fall below 16.50 units per green currency (16.49), before the rebound.

2024-04-11 22:22:07

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