The Mexican peso recorded its steepest weekly drop since 2008 on Friday
Televisa News SOURCE: newscasts televisa FROM: CDMX, Mexico
Dollar is sold in 24. 66 East weights 23 of March. (Getty Images, File)
The Mexican peso depreciated on Monday for the fifteenth consecutive day amid concerns over the advance of the coronavirus , which has already killed almost 15, 000 people in the world, and its devastating effects on the economy.
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The local currency was quoted in 24.667 by dollar , with a loss of 1. 01%. Earlier, it sank to 24. 955 units, a new minimum historical level.
Mexico's central bank lowered its key interest rate on Friday by 50 basis points in a decision taken by majority and out of calendar, taking into account the risks derived from the outbreak of coronavirus in the economy, markets and inflation.
Meanwhile, the United States Federal Reserve on Monday referred to the “tremendous adversities” generated by the pandemic of the coronavirus and announced that it will begin supporting an unprecedented range of credit measures for households, small businesses, and large employers.
“The Mexican peso reaches a new historical low against the dollar this morning, with the currency operating under considerable stress due to the economic impact of the coronavirus, “Monex said in a report.
“In Mexico, where the outbreak of the virus has not yet emerged considerably according to official figures, the slow reaction of the authorities increases expectations of an economic impact of alarming magnitudes that will continue to drag the operation of the weight, “he added.
The Mexican peso on Friday posted its steepest weekly drop since 2008, of more than one 11%, and in the last 15 sessions accumulates a decline of more than one 27%.
With information from Reuters