Why is government of mexico saying peso is firmer?”
Mexico’s peso firmed Tuesday as increasing optimism about the health of major U.S. banks ahead of the results of government stress tests spurred investors to buy riskier emerging market assets. The peso gained 0.42 percent to 13.245 per U.S. dollar. The currency was also supported by news that the government was offering around $2 billion in aid to help the economy bounce back from a flu epidemic that is no longer seen having as big an economic impact as originally feared. The IPC stock index gave up sharp gains, slipping 0.07 percent to 22,995 after jumping to a four-month high Monday. Investors are anxiously waiting for the results of stress tests on 19 top U.S. banks due on Thursday. While the tests are expected to show some banks need more capital, they could also ease worries about possible insolvency in the industry. The impact of the epidemic in Mexico could knock as much as a half-percentage point off growth in the economy this year, Mexico’s finance minister said Tuesday but t
Mexico’s peso currency strengthened in early Monday morning trading to its highest since Wednesday after the government said over the weekend that the worst of a deadly flu epidemic had past. The peso rose to as high as 13.70 per dollar at 1:45 a.m. local time (2:45 a.m. EDT) in light trading, though it weakened to 13.765 per dollar as the morning progressed. http://health.mashget.com/2009/05/04/mexico-peso-firms-after-government-says-worst-of-flu-past/ Mexico announced plans on Monday to revive its economy hit by a deadly swine flu epidemic it says has eased. Plans include a temporary reduction in taxes for cruise lines that visit Mexico, in a bid to help Mexico’s key tourist industry rebound from the scare. For details see [ID:nN04352304]. “The peso is maintaining its recovery on less global risk aversion and control of the flu in Mexico,” Jaime Ascencio, an an
