The peso fell slightly on Friday, while the BMV rose to new all-time highs, after a weak U.S. employment report fueled prospects that the Federal Reserve (Fed) would keep interest rates unchanged at the end of the month.
The currency was trading at 17.9745 units in the final stretch of business, with a marginal depreciation of 0.08% compared to the LSEG reference price on Thursday, as the dollar index advanced against a basket of reference currencies.
The world’s largest economy added 50,000 jobs last month, up from a revised 56,000 in November. Economists polled by Reuters had predicted an increase of 60,000 jobs during the last month of the year.
Following the report, Fed funds futures traders increased bets on a pause in rate cuts in the central bank’s next decision on January 27-28.
Before the figures, the peso weakened to 18.0440 units, a level not seen since mid-December, due in part to uncertainty about the next moves of the United States after its military incursion in Venezuela.
In an interview with Fox News, President Donald Trump stated Thursday night that his administration would begin attacking drug cartels on the ground, which was interpreted as a warning of a possible operation in Mexican territory.
Read: Unemployment remained high, but fell to 4.4% in December: these key sectors lost jobs
Asked about the statements, President Claudia Sheinbaum said that she entrusted her chancellor with the task of improving communication with the US government.
In the stock market, the leading S&P/BMV IPC index gained 0.72% to 65,990.51 points, according to preliminary closing data, after having reached a new milestone of 66,152.73 units during the day.
The securities of the mining company Grupo México led the increases, with 3.38% more to 182.21 pesos, followed by those of the insurance company Quálitas, which added 2.96% to 179.80 pesos.
As for government bonds, the 10-year yield rose six basis points to 9.04%, while the 20-year rate rose five basis points to 9.28%.
With information from Reuters
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