Mexican Peso Hits a Two-Year High, Closing Below 17 to the US Dollar
Mexico's currency ended August 20 at about 16.96 to the US dollar, its firmest level since June 2024, while the government separately studies higher import taxes on Chinese goods. The post Mexican Peso Hits a Two-Year High, Closing Below 17 to the US Dollar appeared first on The Rio Times .
The Mexican peso has reached a two-year high, closing at roughly 16.96 to the US dollar on Thursday, August 20, 2026. This marks the strongest level for the currency in over two years and signals a reversal of the economic slump that began after Mexico's presidential election in June 2024. President Claudia Sheinbaum credited the recovery to a solid economy, growing employment, and international confidence in the Mexican economy.
The peso's gain is largely attributed to interest rates, which remain high compared to US rates, and a weaker US dollar. Mexico's central bank has maintained its benchmark rate at 6.50% since August 6, 2024, helping to maintain the peso's yield advantage. However, the recovery may be short-lived as the Mexican government is reportedly considering higher duties on steel and vehicles.
Meanwhile, visitors to Mexico will find that imported goods, travel, and dollar-priced subscriptions are more expensive due to the stronger peso.
Written by urgent.news from The Rio Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
