Despite the uncertainty caused by the slowdown in the economy, the restriction of public spending and the low Mexican government debt, the weight was revalued to the dollar, the Mexican stock market remained positive, while oil prices recovered over the course of the year. t First semester 2019.
The retail dollar ended up with a bid 19.50 pcs on bank windows, 45 cents less than at the end of last year. In the first six months of this year, the minimum level of sales of the green card was 19.05 pcs on April 12 and a maximum of 20.10 pcs on July 20th.
On international markets, the weight was closed in the first half of the year with an appreciation of 2.16% or 42.5 cents, trading around 19.22 pesos per dollar, ranking as the second most valued currency among the major dollar crosses, just behind the Canadian dollar.
In the first half of the year the exchange rate reached a maximum of 19.88 and a minimum of 18.75 pounds per dollar, showing an annual volatility of 8.7%, with the lowest volatility for the same period of 2014.
According to Gabriele Siller, Director of Economic and Financial Analysis of Banco Base, among the main parameters of weight appreciation during the first half are high interest rates in the country that are attractive to foreign capital.
In the year to June 19, holdings of government securities by foreign residents showed a rise of 1.9% or 189,000 310 million pcs, although there were several cases of uncertainty regarding federal government policies and that at least one credit rating agency decreases BBB + BBB credit rating of the Mexican state debt.
On the other hand, oil prices have shifted more, as oil supplies in the OPEC countries and their allies have declined. Although the risks of a negative impact on global economic growth have been limited by rising oil prices, WTI accumulates 28% profit per year, citing close $ 58 per barrel, while the Mexican blend price is closed $ 61.08 per barrel, which increased this year by 36.67%.
Also, the main indicator of the Mexican stock market ended week and semester at 43,000 161.17 points, which meant nominal growth of 3.65% or a thousand 520.9 units compared to the end of last year. The stock market is most affected by the uncertainty caused by the country's state debt reduction as well as the policies announced by the new administration.