The peso closed the session with little change compared to the close of last week, showing a depreciation of 0.18% or 3.0 cents, trading around 20.62 pesos per dollar, with the exchange rate trading between a minimum of 20.5613 and a maximum of 20.7883 pesos per dollar.
During the session, a greater perception of risk was observed in global financial markets, given the increase in cases of Covid19.
Today the director of the Centers for Disease Control and Prevention (CDC, for its acronym in English) pointed out that hospitalizations for coronavirus increased in 25 states of the United States.
In addition, he indicated that daily cases show an increase of 10% compared to last week.
The global increase in coronavirus cases increases the probability that new containment measures will be implemented.
In Europe, some countries stood out such as Italy (12,916 new cases in the last 24 hours), France (9,094), the Netherlands (6,718), Spain (6,120) and Germany (3,407). In fact, in Germany, Chancellor Angela Merkel pointed out that the confinement that will be applied in the first 5 days of April to stop infections in the Easter holiday period, could be applied in a mandatory way and under the supervision of security authorities.
Concern about the global increase in Covid19 cases led the dollar-weighted index to show a 0.21 percent strengthening.
In addition to the perception of global risk, in the case of Mexico the initiative of the Hydrocarbons Law sent last Friday is still seen as an internal risk, since it has the potential to stop investment in the country.
Moving forward, the discussion in the Commissions will be important, where it will be decided if it goes to the plenary session of the Chamber of Deputies.
It should be noted that the session was characterized by low liquidity in the capital market, with the main indices of the United States showing a lower volume of operation than that observed in the last 30 days.
The lower liquidity, coupled with the absence of the publication of economic indicators, allowed the exchange rate to close with little change compared to the previous closing.
However, towards the middle of the week the publication of the United States employment data for March will be relevant.
On Wednesday, April 31, the ADP employment survey will be published and on Friday, April 2, the non-farm payroll report from the Department of Labor Statistics.
Where job creation higher than estimated would be a sign of a faster recovery in the labor market, which could support speculation of inflationary pressures.
In the oil market, downward pressure was observed after rescue teams managed to clear the Suez Canal, allowing the passage of more than 450 ships.
Given this, the WTI closed the session trading at 61.56 dollars per barrel, which is equivalent to a reduction in its price of 0.97%.
In the session, the euro touched a minimum of 1.1761 and a maximum of 1.1798 dollars per euro. Finally, the euro peso touched a minimum of 24.2136 and a maximum of 24.4868 pesos per euro.
At the close, interbank quotes for sale were 20.6201 pesos per dollar, 1.3763 dollars per pound and 1.1765 dollars per euro.
Gabriela Siller; PhD
Director of Economic-Financial Analysis.