Puerto Vallarta, Mexico – The Mexican peso depreciated against the U.S. dollar on Friday, closing out a week marked by a negative balance. With no significant economic indicators to guide the market, the local currency followed the broader regional trend in a session characterized by low trading volumes and ongoing global uncertainties.
According to official data from the Bank of Mexico (Banxico), the peso closed at 20.3192 units per dollar, compared to 20.2083 units on the previous day. This movement translated into a decline of 11.09 centavos or 0.55 percent for the peso. In intraday trading, the exchange rate ranged between a high of 20.4065 units and a low of 20.1957 pesos per dollar.
Meanwhile, the U.S. Dollar Index (DXY)—which measures the greenback’s strength against a basket of six major currencies—registered a slight drop of 0.09 percent, settling at 108.03 points. Analysts attributed the peso’s volatility in part to the lack of fresh economic data regarding the future direction of U.S. Federal Reserve interest rates. Against this backdrop, market participants have turned their attention to geopolitical developments in the Middle East, following Israel’s recent operations targeting Yemen.
The Mexican currency ended the week with what experts described as a “strong loss,” having slipped from its official close of 20.0342 units per dollar to the new level of 20.3192 units. This represents an accumulated drop of 28.50 centavos, or approximately 1.42 percent over the five-day period.
Market watchers are now monitoring any shifts in global sentiment, particularly regarding the Federal Reserve’s monetary policy signals and geopolitical tensions, as these factors are likely to steer the peso’s performance in the near term.
