Reuters. – The peso and the Mexican Stock Exchange (BMV) advanced on Tuesday, a day after Federal Reserve Chairman Jerome Powell suggested that the US central bank might implement sharper rate increases to curb inflation.
Investors also focused on the conflict in Ukraine and its repercussions on international energy and raw materials prices, which have come under severe pressure.
* The peso was trading at 20.2835 to the dollar near the end of trading, up 0.42% against the benchmark price of Reuters on Monday. A little earlier, it was up 0.56% at 20.2540 pesos, its best level since Feb. 24.
“Investors are unlikely that Banco de México will follow in the Fed’s footsteps in terms of its monetary tightening,” Monex Grupo Financiero said in an analytical note.
* Last week, the Federal Reserve raised interest rates for the first time in three years, and the market expects the Bank of Mexico (Banxico) in Mexico to raise its key interest rate for the seventh time in a row on Thursday, amid ongoing concerns about the direction. of consumer prices.
Banorte shares fall
* The benchmark stock index S & P / BMV IPC rose 0.46% to 55,722.48 points, on its fifth consecutive day of gains, with a cumulative return of 5.52% in the period.
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* In the morning, the stock market advanced to 55,902.28 units, the highest level ever.
* Contrary to the prevailing market trend, a 7.2% drop to 149.34 pesos emerged from Grupo Financiero Banorte shares, due to an adjustment after three sessions of strong earnings in which they added a return of 15% taking them to record highs on Friday.
* In the debt market, the initial yields of Treasury Certificates (Cetes) recorded mixed changes in the weekly auction of government securities of the Central Bank. The 28-day rate increased 16 basis points to 6.49%, while the 91-day rate decreased five to 6.70%.
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