Mexican Peso Ends the Day Flat, Gains 1.51% for the Week

The local currency saw little movement in a session driven by economic data, as investors continued assessing the outlook for trade with the United States.

The Mexican peso ended Friday’s trading session virtually unchanged against the dollar. The exchange rate closed at 20.2672 pesos per dollar, compared to 20.2657 in the previous session, according to official data from the Bank of Mexico (Banxico). This represented a marginal loss of 0.01%, less than a cent.

The dollar traded within a range of 20.3355 at its highest and 20.2288 at its lowest. Meanwhile, the U.S. Dollar Index (DXY), which measures the greenback against a basket of six major currencies, fell 0.38% to 103.81 points.

Economic Indicators

Mexico’s general consumer price index accelerated to 3.77% in February, in line with forecasts, remaining within the central bank’s target range. Core inflation, however, slightly eased to 3.65%, according to INEGI data.

Traders are now focused on next week’s economic releases, including industrial production and consumer confidence, which could provide further insight into the country’s economic trajectory.

Meanwhile, in the U.S., the Bureau of Labor Statistics reported that nonfarm payrolls increased by 151,000 jobs, below the expected 170,000 but above the revised 125,000 from the previous month.

Strong Weekly Gains

Despite the slight daily dip, the peso posted a strong weekly gain. Compared to last Friday’s level of 20.5782, today’s close represented an appreciation of 31.10 cents, or 1.51%, as markets reacted to developments on trade tariffs.

On Tuesday, the U.S. imposed 25% tariffs on Mexico and Canada. However, a day later, the White House announced an exemption for automobile manufacturers, and on Thursday, President Donald Trump granted further exemptions for USMCA-covered goods.

Traders are now eagerly awaiting Mexico’s President Claudia Sheinbaum’s response on Sunday. Canada has already announced retaliatory measures, while China also faced an additional 10% tariff increase this week on top of previously imposed duties.