Exchange rate today
This morning the exchange rate was trading at 18.30 pesos per dollar, a decline of 0.30% compared to Wednesday’s close recorded by the Bank of Mexico. This is the third consecutive day with losses for the Mexican peso.
The depreciation is derived from the tension in the Middle East, due to the conflict between Israel and the Palestinian group Hamas, who accuse each other of the attack on a hospital that left nearly 500 dead.
Another cause of the depreciation is a 1.01% reduction in the international price of oil, after the United States officially suspended sanctions against Venezuela, which could help global oil supply if a war breaks out in the Middle East region. indicated an analysis by Banco Base.
“It is estimated that Venezuela’s oil production can increase by about 25% or 200,000 barrels per day, from the 800,000 barrels of oil per day it produces now.”
A third cause of the depreciation of the peso is the approval of the Federal Income Law, for 2024, which includes the largest fiscal deficit since 1988, which would put the credit rating of Mexico’s sovereign debt at risk.
“Today the support is located at $18.50 and the resistance at $18.40, which corresponds to the maximum value of the day. Today’s attention will focus on Jerome Powell’s comments,” Monex noted.
During the session, the exchange rate is expected to trade between 18.18 and 18.42 pesos per dollar.