By: The opinion Posted Jul 14, 2023, 14:12 pm EDT
Yes ok The gains of the Mexican peso against the dollar are a reflection of a strong economy in Mexicothis advance has negative impacts for some sectors, such as tourism and real estate.
Some people who earn in dollars also express that the advance of the peso has a negative impact on its economysince they must send more remittances to Mexico and that affects their life in the United States.
A recent NBC report in San Diego cites that people believe that the situation of the Mexican peso against the dollar can be beneficial for many, but there are undoubtedly negative consequences.
“We were used to going out and getting a lot for our dollar, this time it was a little different,” says Andrés Guzmán, an American of Mexican parents who frequently traveled to Mexico, to places like Cancun and Los Cabos.
Guzmán said he noticed the change in the dollar against the peso on a trip to the town of Tequila, in Jalisco.
In another Univision report, some tourist agencies in Mexico report that Americans had reserved events, such as weddings or other parties, but with the change in the price of the dollar, prices have risen and they prefer to cancel.
Also the owners of real estate businesses express concernsas home buying is down.
“People are slowing down a bit,” said Maricarmen Castellanos, who works with Probien Real Estate Company in Tijuana.
Castellanos believes that clients are confident that the dollar will strengthen again.
Bloomberg analysts and financial institutions affirm that the price of the dollar in Mexico will increase towards the end of the year and, perhaps, return to $18 pesos per dollar.
“The strengthening of the weight already exhausted his strengthand unless a very important unforeseen event occurs in favor of the Mexican currency, we will have a strengthening of the dollar in the coming weeks and months, ”said Rodrigo Aguila, analyst at Banco Suizo, last week.
On Wednesday and Thursday, the dollar registered more losses, since it is trading at $16.75 pesos, something that had not been seen in almost 10 years.
Keep reading:
· Mexican peso surprises with more gains against dollar
· Why the Mexican “superpeso” is the most liquid currency in Latin America and what does this have to do with its strength against the dollar
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