# Peso strengthens again, reaching 16.62 to the US dollar

> The Mexican peso appreciated to 16.62 per dollar on Friday, its strongest level since late 2015, after US inflation slowed to 3% in June. Analysts point to Bank of Mexico rates near 11.25%, the wide gap with Fed rates, and strong capital and remittance inflows as drivers. The Fed had raised its funds rate to 5.25%-5.5% earlier that week.

- Date: 2023-07-28 · published 2023-07-28T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/35269-peso-strengthens-again-reaching-16-62-to-the-us-dollar
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A stronger peso lowers the peso cost of dollar-priced feed and ingredient imports into Mexico. The currency move is driven by monetary policy and capital flows rather than changes in feed supply.

## Read by commodity

- USDMXN: bearish ▼

## Sources

- mexiconewsdaily.com: https://mexiconewsdaily.com/business/peso-strengthens-again-reaching-16-62-to-the-us-dollar/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.