The Mexican peso began the first session of October with a gain of 0.56% or 11.3 cents, trading at around 20.02 units per dollarwith the exchange rate touching a minimum of 19.95 and a maximum of 20.13 per greenback.
Thus, the Mexican currency continues with the positive streak of the third quarter of 2022in which it had a gain of 0.16% despite the global volatility with which most currencies registered losses.
Gabriela Siller, director of economic analysis at Banco Base, commented that the appreciation of the Mexican currency was due to two factors.
- Increases in the prices of energy and raw materials
The Mexican peso gained ground along with other currencies of commodity-producing countries, as energy prices rose, mainly oil. The most appreciated currencies are from countries that produce raw materials: the Brazilian real with 4.74%, the Chilean peso with 3.26%, the Norwegian krone with 2.22%, the New Zealand dollar with 2.11%, the Australian dollar with 1.80%, the Colombian peso with 1.74%, the Russian ruble with 1.64% and the Canadian dollar with 1.52%.
- Publication of negative economic indicators in the United States
The ISM for the manufacturing sector for September came in at 50.9 points, well below market expectations and down from 52.8 points in August. It is worth mentioning that it is its lowest level since May 2020, when it stood at 43.5 points.
Secondly, The Mexican Stock Exchange (BMV) registered this Monday a gain of 1.8% in its main indicatoruntil reaching 45,429.75 units, which also adds its first advance in the month of October.
The favorable results occurred in the middle of a session marked by a new record of remittances to Mexico, totaling 37,933.99 million dollars in the first eight months of the yearan increase of 15.16% compared to the same period in 2021.
Likewise, a better perspective was generated among investors about the economy after the data from the manufacturing indicator of the United States placed Mexico among the countries that show expansion in this area.
In this context, private sector specialists raised the growth forecast for the Mexican gross domestic product (GDP) for 2022 to 2.01%, and reduced their forecast for 2023 to 1.15%, according to the latest monthly survey by the Bank of Mexico (Banxico).
Wall Street closed this Monday, the first day of monthly trading, with green in all its indicators, and the main one, the Dow Jones Industrialrose a resounding 2.66%, after last week closed a month and a quarter of falls.
At the close of trading on the New York Stock Exchange, the Dow Jones gained 765.38 points to 29,490.89, and the selective S&P 500 rose a very similar percentage, 2.59%, 92.81 points, to 3,678.43.
For its part, the Nasdaq market composite index, which brings together the main technology companies, also appreciated by 2.27% or 239.82 integers, to 10,815.44.
With information from EFE.
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