The Mexican peso is experiencing its third consecutive week of appreciation.

The Mexican peso is on track for its third consecutive week of gaining ground against the US dollar.

The local currency is poised to close a positive week as investors await several upcoming monetary policy decisions, including Banxico’s.

The Mexican peso shows little change on Friday morning. The local currency remains steady and is set for a positive week closure as investors brace for upcoming monetary policy announcements, including the domestic one.

The spot exchange rate stands at the level of 16.7085 units per dollar. With a close of 16.6934 units yesterday, based on the official data from the Bank of Mexico (Banxico), this represents a loss of 1.51 cents for the peso, equivalent to a marginal 0.09 percent.

The dollar price moves in an open range with a maximum of 16.7480 pesos and a minimum level of 16.6640 units. The Dollar Index (DXY), from the Intercontinental Exchange, which measures the greenback against a basket of six currencies, gained 0.05% to 103.41 points.

Following a week of significant economic data in the United States, the market is more cautious ahead of monetary policy announcements, with the Federal Reserve (Fed) on Wednesday and, domestically, Banxico on Thursday.

Recent increases in inflation data in the United States appear to reduce the chances of the Fed cutting rates in the first half of the year, while Mexican rates could be cut by 25 basis points next week, according to several analysts.

The exchange rate continues its downward trend, which could strengthen further if the Bank of Mexico does not cut interest rates in its next monetary policy announcement.