Most currencies in Latin America were advancing due to renewed enthusiasm for risk assets, allowing the peso to approach the 17-unit support level.

The Mexican peso appreciated against the dollar in Monday’s trading session. The local currency advanced on the first day of the week in a market anticipating significant economic data such as Mexico’s GDP and the Federal Reserve’s announcement.

The exchange rate closed this session at 17.0185 units per dollar. Compared to the official close of 17.1466 units on Friday, according to data from the Bank of Mexico (Banxico), the currency saw a gain of 12.81 cents, or 0.75 percent.

The dollar traded within a range that spanned from a high of 17.2499 pesos to a low of 16.9911 units. The Dollar Index (DXY), which compares the U.S. dollar to a basket of six major currencies, fell by 0.29%, reaching a level of 105.63.

Traders are gearing up for a week filled with important economic data, highlighted by Mexico’s first quarter GDP growth figure tomorrow, and the Federal Reserve’s monetary policy decision the day after.

Most currencies in Latin America were advancing due to renewed enthusiasm for risk assets, which allowed the peso to approach the 17.00 units per dollar support level again, after having closed the previous week with losses.

Although expectations for an interest rate cut are virtually nil, traders will be closely watching for signals in the Federal Reserve’s statement and Jerome Powell’s speech.