The expectation that the Federal Reserve could reduce your interest rate sometime this year continues to provide a boost to the Mexican peso which anticipates a session of gains against the dollar.
According to the data reported by Bloombergthe Mexican currency appreciates 0.41 percent, so the exchange rate is located at 16.92 units, 20 cents less compared to the Closing on Tuesday, April 30.
So far in the session this Thursday, May 2, the Mexican currency has operated between a maximum of 16.99 and a minimum of 16.90 units.
Why is the peso appreciating today, May 2?
“The Mexican peso starts May appreciating after discounting yesterday’s messages from the Fed on the evolution of interest rates. For the rest of the day, the exchange rate could fluctuate between 16.84 and 17.04″, CIBanco analysts point out.
The dollar index (dxy)which measures the strength of the US currency against a basket made up of six developed countries, fell 0.13 percent to stand at 105.61 points.
For the Bloomberg dollar index (bbdxy)a decrease of 0.59 percent is revised and stands at 1,256.49 units.
While, at bank windowsthe price of the green bill is 17.36 pesos each, according to data from Citibanamex.
Which currencies lose the most against the dollar this Thursday?
Among the most appreciated currencies are the russian ruble with 2.05 percent; the brazilian real with 1.17 percent; the chilean peso with 0.70 percent; the Colombian peso with 0.57 percent, and the Indonesian rupiah with 0.46 percent.
In the money market, the yield on the 10-year bond for the United States is 4.64 percent, while the 10-year bond in Mexico remains at a level of 10.33 percent.
