Puerto Vallarta, Mexico – As of today, September 7, 2024, the Mexican peso continues its downward trend against the US dollar, with the interbank exchange rate sitting at 19.97 pesos per dollar, reflecting a gain of 0.57% from the previous session, according to Bloomberg. Despite this small recovery, the peso remains under pressure due to broader market concerns.
The Mexican currency experienced a drop after the release of a mixed US jobs report, which has led investors to scale back expectations of a significant interest rate cut from the Federal Reserve. The ambiguity of the report has left markets in a state of uncertainty, affecting the peso and other emerging market currencies as investors seek safe-haven assets like the US dollar.
Peso’s Recent Performance
On Friday, September 6, the peso closed at 19.9660 units per dollar, marking a 0.54% loss for the day. This latest drop contributed to a weekly decline of 1.3%, making it the third consecutive week of losses for the Mexican currency. The peso’s continued weakness underscores the challenges the Mexican economy faces in navigating global economic conditions, including rising interest rates in the US, inflation concerns, and a potential slowdown in economic growth.
Exchange Rates Across Mexican Banks
For those looking to exchange currency, here is how major Mexican banks are handling the dollar as of September 7:
- Affirm: Buy at 18.90, Sell at 20.70
- Banco Azteca: Buy at 18.75, Sell at 20.35
- Banorte: Buy at 18.75, Sell at 20.30
- BBVA: Buy at 18.93, Sell at 20.47
- Banamex: Buy at 19.37, Sell at 20.49
- Santander: Buy at 18.70, Sell at 20.40
- Scotiabank: Buy at 17.00, Sell at 20.80
Economic Outlook
The current exchange rate movement reflects a larger picture of global economic uncertainty. As central banks in major economies, including the US Federal Reserve, continue to weigh decisions on interest rates, emerging markets like Mexico are feeling the pressure. Investors are cautious as they await clearer signs of whether the Fed will reduce rates or maintain its current course to tackle inflation.
Additionally, the peso’s performance can be linked to concerns about the Mexican economy, particularly inflationary pressures and external factors such as oil prices and trade relationships. Mexico’s central bank, Banco de México, has kept a vigilant eye on these developments, with potential adjustments to monetary policy being considered in response to both domestic and international economic indicators.
Puerto Vallarta, Mexico - As of today, September 7, 2024, the Mexican peso continues its downward trend against the US dollar, with the interbank exchange rate sitting at 19.97 pesos per dollar, reflecting a gain of 0.57% from the previous session, according to Bloomberg. Despite this small recovery, the peso remains under pressure due to broader market concerns.
