Mexico City /
He mexican peso depreciated with 0.61 percent, equivalent to 12.2 cents, closing at 19.97 units per dollarthis Monday, October 21, 2024.
Due to the upcoming presidential elections in the United States, according to specialists, the national currency is beginning to suffer from the uncertainty of this event.
“We are seeing, at least since last week, that this electoral factor in the United States is affecting the exchange rate to a greater extent, pesos per dollar, especially due to the statements made by Republican candidate Trump, something that we somehow expected. , if the race remained very close like now,” commented Janeth Quiroz, director of analysis at Grupo Financiero Monex.
“All this, in the end, is leading to uncertainty about what could happen, especially given that we are approaching the elections that are still very close,” he added.
Trump could win the US elections
He stressed that the possibility that Donald Trump is the winner and that he fulfills some of these promises he is making during the campaign cannot be ruled out.
“Because of the above, we are seeing that the exchange rate is already trading above 20 units and that we are seeing greater risk aversion in the face of a scenario in which there may be a double mandate from Trump,” he noted.
For its part, the analysis area of Banortehighlighted that this uncertainty about the result and its implications is reflected more clearly in the markets in recent days.
However; During the session, the Mexican Stock Exchange (BMV) failed to maintain the positive momentum registered on Friday, when the S&P/BMV IPC index closed with a rise of 1.07 percent, driven by the industrial sectors of basic consumer goods and products.
“In today’s session, the Mexican market operates under pressure, with a drop of approximately half a percentage point, affected by global profit-taking and investor caution in the face of persistent uncertainty,” said Quasar Elizundia, strategist at Market Research at Pepperstone.
The financial firm explained that this is probably due to the proximity of the event, the recent changes in preferences and the greater media exposure of both candidates in the final stretch of the race.
“However, it is important to always be cautious with the interpretation of adjustments in asset prices since a wide number of factors influence them every day,” he noted.
That said, one of the most notable signs is the increase in implied volatilities in the options of various assets.
Likewise, he indicated that in currencies, the increase was focused on emerging currencies, highlighting cases such as the yuan and the Mexican peso.
“The relevance of the elections cannot be minimized, the possible changes in public policies on various aspects will affect the prospects of said economy and it is highly probable that they will also have an impact on practically all regions of the world,” he commented.
K.L.
