Banxico’s decision to keep interest rates unchanged fuels the peso’s longest rally in over a year, pushing USD/MXN to 17.21.
The Mexican peso extended its winning streak to 10 consecutive sessions, rising 0.12% after the Bank of Mexico held interest rates steady. The USD/MXN pair traded at 17.21, down from a daily high near 17.25.
Banxico’s decision followed a period of sustained monetary tightening, with the benchmark rate remaining at 11.25%. The central bank’s cautious stance contrasts with global peers easing policy, supporting the peso’s resilience.
The rally marks the currency’s longest since early 2023, reflecting investor confidence in Mexico’s economic stability amid external volatility.