He super weight It is the denomination that the Mexican currency has adopted in the financial community due to its surprising performance since 2022.
And it is that, since the beginning of 2023, while the value of other international currencies decreased against the dollar, the Mexican currency maintained its position.
Thus, the Mexican super peso is emerging as one of the best appreciated currencies in the world, being the third most traded among emerging countries.
With a market share of 7.8% of the super peso, the Mexican currency is positioned behind China, which has 36.1% and the rupee India with 8.4%, according to data from the Bank for International Settlements.
What reasons explain your winning streak?
According to the information, the super mexican peso It has increased in value so far in 2023.
Some reasons that explain its good performance are explained in the appetite for risky assets in the United States.
To this is added that the Mexican peso It has been appreciated approximately 3%, against the US currency and is at its best level in three years.
According to analysts, the reasons for this growth are due to the wide interest rate differential with the United States, the government’s strict fiscal stance, the country’s sound external finances, high operability of the peso, and mixed macroeconomic and corporate data in the United States.
Advantages of super weight
The rise of the Mexican currency brings with it a series of advantages for the benefit of Mexican investments.
According to the experts, these are the advantages that the consolidation of the value of the super weight brings.
- Aid to lower inflation, as they cause lower imports.
- increases the return on investments in pesos when converted to dollars, which can encourage greater portfolio investment flows.
- Aid to companies that have debts in foreign currencies and income in Mexican pesos. Less amount in pesos per dollar of debt, which is favorable.
- decreases interest paid on external debt, being lower when converted to pesos.
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Source: Gestion
Ricardo is a renowned author and journalist, known for his exceptional writing on top-news stories. He currently works as a writer at the 247 News Agency, where he is known for his ability to deliver breaking news and insightful analysis on the most pressing issues of the day.
