The peso dips under 17.5 to the US dollar, its strongest level since 2024

The peso appreciated to little than 17.5 units per US dollar connected Wednesday, its strongest  level since May 2024.

The closing complaint of 17.483, represented an appreciation of 0.69%, oregon 12.13 centavos for the day. Through the archetypal 3 weeks of the caller year, the peso has gained 2.91% against the dollar.

#AlSonarLaCampana | El peso mexicano ganó terreno frente al dólar. El #TipoDeCambio se situó en 17.48 pesos por billete verde, su nivel más bajo desde mayo 2024.
📺: @RaquelLPM pic.twitter.com/eo6Sa58ZM7

— El Financiero (@ElFinanciero_Mx) January 21, 2026

The speech complaint really approached 17.40 pesos per greenback during the day, lone to suffer immoderate crushed aft U.S. President Donald Trump said that attacks against Mexican cartels would “begin soon.”

Banamex reported that the dollar was selling for 17.91 pesos connected Wednesday afternoon, portion the acquisition terms was 16.93 units.

The peso question was supported by a alteration successful geopolitical tensions pursuing comments by Trump successful Davos, arsenic good arsenic by the communicative of little economical unit successful the U.S., which is seen arsenic a affirmative for Mexico.

“Even so, the marketplace remains delicate to immoderate quality from the United States that could rapidly displacement sentiment,” Diego Albuja, marketplace expert astatine ATFX LATAM, told El Economista newspaper.

Wednesday’s beardown show led Banamex to revise its speech complaint projections. They present expect that the peso volition commercialized beneath 19 units wrong the adjacent 2 years.

“The superpeso could beryllium making a comeback, supported by greater hazard appetite and precocious involvement rates,” Banamex economists said successful a note. “We present estimation it astatine 18.36 pesos per dollar successful December of this twelvemonth and astatine 18.73 by 2027.”

The appreciation of the peso is not wholly bully news, however.

Those who person remittances — an estimated 1 successful 10 adults successful Mexico trust connected wealth from overseas — person less pesos erstwhile they speech the money.

At the aforesaid time, companies successful the export sector, an economical operator successful caller years, make little income successful section currency.

“Currency appreciation tin origin home accumulation to suffer competitiveness successful the planetary marketplace due to the fact that section products are present worthy much successful overseas currency,” Monex economists told the paper La Jornada.

As such, exports thin to decrease, contributing to the commercialized deficit.

The peso gained importantly against the U.S. dollar successful 2025 owed to higher involvement rates successful Mexico and the determination by immoderate U.S. companies to determination manufacturing person to location (and to Mexico). 

A comparatively weaker dollar has besides helped the peso show spot successful 2026. Analysts expect that continued nearshoring with the U.S. and Canada, on with wide overseas nonstop concern into Mexico, volition proceed driving beardown request for pesos.

Looking further into the future, the marketplace consensus is that the speech complaint “will stay successful the scope of 18 to 20 pesos per dollar with a flimsy inclination towards depreciation, fixed a inactive anemic system and attraction to monetary argumentation decisions some astatine location and successful the U.S.”

A caller Reuters survey found that those polled judge the peso volition support trading adjacent to the halfway of a scope betwixt 16-22 per U.S. dollar that has held steadfast for much than a decade.

With reports from El Economista, La Jornada and El Financiero