Puerto Vallarta, Jalisco, July 25, 2026 – The Mexican peso began Saturday near 17.48 per U.S. dollar after posting a modest gain during Friday’s session.
At 6:48 a.m. in Puerto Vallarta, an indicative mid-market quote placed the dollar at 17.4823 pesos. Wholesale markets are closed for the weekend, so the more useful official reference is Friday’s closing rate.
The Bank of Mexico recorded the July 24 close at 17.4845 pesos per dollar, compared with 17.5269 at the end of Thursday’s session. That represents a decline of about 4.24 centavos in USD/MXN and an appreciation of roughly 0.24% for the peso.
Mexico’s tariff position supports the peso
Mexico’s relative advantage under the United States-Mexico-Canada Agreement helped support demand for Mexican assets Friday.
New U.S. tariffs of 10% to 12.5% took effect against imports from dozens of trading partners. Economy Minister Marcelo Ebrard said Mexico’s effective treatment would remain largely unchanged because goods that comply with the USMCA continue to enter the United States without the new tariff.
Ebrard estimated that about 85% of Mexican exports to the United States qualify for tariff-free treatment. The remaining trade includes products outside the agreement and sectors already subject to separate duties.
That distinction gave Mexico a comparative advantage over countries facing the new tariffs across a larger share of their exports. It does not remove the broader trade risk.
The United States and Mexico are planning another round of USMCA negotiations in September. Differences remain over automotive content rules, metals tariffs and other conditions for preferential access.
Mexican data send mixed signals
Domestic economic figures offered support and caution in nearly equal measure.
Annual inflation slowed to 3.10% during the first half of July, according to Mexico’s statistics agency. Core inflation, which excludes some of the most volatile prices, remained higher at 3.95%.
Lower headline inflation can strengthen expectations that the Bank of Mexico will have room to reduce interest rates. Lower rates can limit the peso’s appeal to some international investors, although exchange rates respond to several factors and Friday’s movement cannot be attributed to monetary expectations alone.
Mexico’s economy also lost momentum in May. The Global Indicator of Economic Activity fell 0.3% from April after seasonal adjustments, while remaining 2% above its level one year earlier.
Oil retreat eases some pressure on the dollar
The wider market remained unsettled by the U.S.-Iran conflict, trade policy and expectations for the Federal Reserve’s meeting next week.
Brent crude settled Friday at $96.78 a barrel, down 3.88% after closing above $100 on Thursday. The decline eased immediate inflation concerns, but U.S. bond yields remained elevated.
Markets were pricing roughly a one-in-three chance of a Federal Reserve rate increase at the coming meeting. Higher expected U.S. rates generally support the dollar, while geopolitical tension can increase demand for dollar-denominated assets.
Risk appetite was mixed. The Dow gained 0.46%, the S&P 500 finished nearly unchanged, and the Nasdaq fell 0.64%. That backdrop limited the peso’s advance even as Mexico’s tariff position provided support.
Weekend rates for Puerto Vallarta budgets
At Friday’s official closing rate, $100 was worth about 1,748.45 pesos before commissions or exchange spreads. A $1,000 transfer was equivalent to approximately 17,484.50 pesos.
In the other direction, 10,000 pesos represented about $571.94 at the wholesale rate.
Someone exchanging $100 would receive about 4.24 fewer pesos than at Thursday’s close, assuming both transactions used the official market rate. Banks, ATMs, card issuers, transfer services and exchange houses set their own rates and fees, so the amount received locally can differ substantially.
The Bank of Mexico’s FIX rate determined Friday was 17.4635. For dollar-denominated obligations payable in Mexico on Saturday, the applicable published reference is 17.5130 pesos per dollar.
Weekend retail quotes may move even while the main wholesale market is closed. The next full trading session begins Monday, when the peso will again respond to trade negotiations, oil prices, geopolitical developments, and expectations surrounding the Federal Reserve.
