The dollar becomes "nervous" before the US elections and the peso benefits

MEXICO.- The Mexican currency took advantage on Monday of the situation of less "appetite" for the dollar on the international market, before the mid-term elections in the United States, which will define the room for maneuver with which it will have Donald Trump strengthen its government strategy.

The Bank of Mexico reported that the interbank dollar closed at 19.9470 units. That day, the peso gained 14.30 cents, or 0.71%.

A closing of less than 20 units was not given on October 26th.

In Bank reception desk, the bank note is sold at 20.25 units, lower than the 20.45 announced Thursday by Citibanamex.

The exchange rate peaked at 20,1402 units, while the minimum was 19.9152 at 8:40 am on the wholesale market.

The Mexican peso accumulated two consecutive sessions in positive territory, accumulating an appreciation of 1.74%.

It must be remembered that last Friday, there was no operation in Mexico for the Day of the Dead.

Exchange market participants raised their positions in pesos, taking advantage of improved risk perception, pending the results of the vote to renew power. United States Congresss, which will be made tomorrow.

The Mexican currency took advantage Monday of the favorable situation represented by the dollar decline on the international market.

The index that measures the performance of the dollar against a basket of ten currencies drops 0.10%.

The services sector figure, released today, reinforces the hope that the Federal Reserve will not rise next Thursday to its benchmark rate. This situation was not favorable for the dollar at the moment.

In the United States, it was reported that the ISM services was setting at 60.3 points in October, more than the 59 points expected, according to a survey by Bloomberg.

In another area, there is mixed behavior in the oil market, a situation that did not contribute to the recovery of the Mexican currency.

The price of crude oil West Texas down 0.27% to $ 62.97 per barrel, while the rate Brent increases by 0.21% to $ 72.97.

Internally, he points out that in the auction to renew the expiration of currency hedgeThe request was increased to $ 235 million, for a period of 92 days, 2.3 times higher than the $ 100 million offered.

The exchange rate has a resistance of 20.50 units. In any case, the support is 19.90 pesos, on the wholesale market.