The Mexican peso traded without major changes on Thursday to close with a slight advance against the US dollar, after the monetary policy decision of the Bank of Mexico (Banxico) to raise its reference interest rate by 75 basis points and place it at a level of 7.75 percent.
The exchange rate ended the session at 20.0022 units, compared to closing at 20.0168 units by dollar registered yesterday, with data from the Bank of Mexico. That meant a very slight gain for the Mexican currency of 0.07 percent.
Since the Mexican central bank adopted the interest rate as an operational target in 2008, it had never increased the rate by more than 50 basis points, according to Gabriela Siller, Director of Analysis at Banco Base.
The specialist explained that the stability in the price of the Mexican peso It is explained because the market already took for a fact that Bank of Mexico it would raise the interest rate by 75 basis points, in line with the action of the United States Federal Reserve.
The market was already expecting the Mexican central bank to announce a 75 basis point hike in the benchmark rate, acting to the same extent as the Federal Reserve did last week.
The peso began the session this Thursday, June 23, with a slight depreciation of 0.07% or 1.4 cents, reaching a price of 20.0553 pesos per dollar, after the inflation data in Mexico was published.
Consumer prices stood at 7.88% annually in the first half of June, beating market forecasts of 7.7 percent.
(With information from Judith Santiago.)