The peso had three sessions with gains this Friday, while the Mexican Stock Market fell in a market attentive to trade tensions between the United States and China, and expectations that the Federal Reserve (Fed) would continue to reduce interest rates for the rest of the year.
The dollar stood at 18.3899 pesos, an appreciation for the national currency of 0.23% compared to the previous day, according to closing data from Banxico. In the weekly accumulated it advanced 0.82%.
St. Louis Fed President Alberto Musalem said he was leaning toward supporting a rate cut at the central bank’s next meeting in late October.
President Donald Trump said Friday that a planned meeting with Chinese President Xi Jinping will go ahead, adding that the two sides get along well as his government seeks to stabilize relations with Beijing.
Lee: Peso advances for the second day due to expectations of more Fed rate cuts
In turn, Treasury Secretary Scott Bessent indicated that he would speak with his Chinese counterpart later this Friday, underscoring the ongoing economic and financial dialogue between the world’s two largest economies.
Stock market falls 1.28%
The benchmark S&P/BMV IPC stock index fell 1.28% to 61,743.92 points. In the two previous days it accumulated a return of 2.89%. The titles of the Orbia conglomerate led the decline, with 6.78% less to 18.14 pesos, after having soared more than 20% on Wednesday due to reports about a possible divestment in one of its business units.
In the secondary debt market, the 10-year bond yield fell one basis point to 8.49%, the same as the 20-year rate, which ended the day at 9.13%.
With information from Reuters
Follow the information on the economy and finances in our specialized section
