Mexico's central bank says U.S. stimulus will lift economy, create market challenges

  • 📰 Reuters
  • ⏱ Reading Time:
  • 41 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 97%

Ireland News News

Ireland Ireland Latest News,Ireland Ireland Headlines

U.S. President Joe Biden's $1.9 trillion stimulus package will help boost Mexico's economy and exports but will also create financial market challenges in emerging economies, said Alejandro Diaz de Leon, the governor of Mexico's central bank.

MEXICO CITY - U.S. President Joe Biden’s $1.9 trillion stimulus package will help boost Mexico’s economy and exports but will also create financial market challenges in emerging economies, said Alejandro Diaz de Leon, the governor of Mexico’s central bank.

The Bank of Mexico’s five-member board will analyze at its next monetary policy meeting the impact of a recent spike in U.S. Treasury bond yields, Diaz de Leon told Reuters in an interview.“We’ve practically seen interest rates across the board pressured higher, especially in emerging economies, and with some adjustment in the exchange rate due to this readjustment in portfolios,” said Diaz de Leon.

By the beginning of March, the peso had depreciated to 21.5090 per U.S. dollar, its weakest level since October 2020. Meanwhile, 10-year Mexican yields increased to 6.41%, their highest since May 2020. Since then, Mexican annual inflation accelerated to its highest in four months in February, beating expectations, due to a rise in energy costs, but staying within Banxico’s target range.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Withdrawals today !!! I really appreciate all you've done for me, you are the best and I promise to spread your good work Thank you JacksonWilliam0

How? All I can predict there will be is imported inflation for Mexico.

0.9185719509409075

Mexico is far better than the GOP and all republicans

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in İE

Ireland Ireland Latest News, Ireland Ireland Headlines