There is always a light at the end of the road, even for the Mexican economy.
Good economic news!
During the first half of 2017, the Mexican peso consolidated as one of the best performing currencies. Yes, it is hard to believe it due to the ups and downs of the exchange rate that has driven all Mexicans crazy since 2016.
And it was not for less, because the variation in the exchange rate is decisive because the exchanges of goods and services at the international level are made in dollars, this naturally affects the internal economy.
However, it has not been an easy year for the Mexican currency. Several factors, both international and national, caused the price of the peso to fall seriously. I'll tell you what they were.
The Dreaded Brexit
Although Brexit was a phenomenon that affected the entire world in political and social matters, the economic scenario for Mexico was reported very discouraging.
After the departure of the United Kingdom from the European Union (event known as Brexit), on June 23, 2016, the Mexican currency was completely destabilized. The exchange rate stood at more than 19 units against the dollar. His worst fall since 2009! (until that moment).
This affected economic activities globally and created a psychosis in all Mexicans, as the prices of food and services increased.
Sure, Brexit wasn't the only culprit for the peso price drop. Another stressor for the Mexican economy was the anti-Mexican and protectionist speeches of the US President, Donald Trump.
In January, the peso suffered several severe falls, reaching figures of up to more than 22 pesos per dollar.
From January 3 to 5, something unusual happened. The dollar imposed a record level in its price. It broke all-time highs, that is, another tragic fall in the peso, after the one that caused Brexit.
The Future of Weight
Fortunately, since January 20, this trend changed and the peso began to gain against the dollar. So much so that financial analysts estimate that the peso will remain stable for the rest of the year.
In January, the Bank of Mexico projected the exchange rate at a level of 21.70 pesos per dollar. It is currently estimated at 18 units per dollar! So it seems that they are doing miracles for us in heaven.
We can relax a bit on the economic issue, although, of course, this can change from one moment to the next. Well, let's remember that the economy of each country depends, to a great extent, on international financial movements. It doesn't hurt to be aware of how our currency is positioned globally.
Read the news constantly. Especially newspapers like El Universal, El Economista and El Financiero. There are also several columnists like Roy Campos and Alberto Aguilar who give many advice on how to invest, considering the changes in the national currency.
Either way, it will be convenient to keep a little storage, for any unforeseen event!
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