Peso posts a fifth straight weekly loss against the dollar
Banco Base blames the slide on unwinding carry trades; the peso ended the week at 18.41 per dollar.
The Mexican peso ended the week of Oct. 5 to 9, 2026 at 18.41 per dollar, its weakest level since November 2025, El Financiero reported, citing figures from Banxico, Mexico's central bank. The FIX, the exchange rate the central bank calculates and publishes to settle obligations in dollars, was 18.4163 pesos on Oct. 9, according to the Official Gazette of the Federation.
It is the fifth straight week of losses. On Friday the currency fell 1.1 % on the day and 1.4 % on the week, the biggest drop among the benchmark emerging-market currencies, according to Bloomberg as cited by the newspaper.
Gabriela Siller, head of research at the Mexican bank Banco Base, blamed the move on the unwinding of the *carry trade*: borrowing in a currency with low interest rates to put the money in another that pays more. She said the close is "consistent with the dismantling of positions" of that kind.
Banxico's policy rate is 6.50 %, while the U.S. Federal Reserve set a range of 3.75 % to 4.00 % on Sept. 17. The gap is about 250 basis points, a low, according to El Financiero. A smaller gap reduces what Mexican bonds yield relative to U.S. bonds.
Forecasts come from analyst firms, not from official sources. For this week, Felipe Mendoza of EBC Financial Group expects an exchange rate between 18.30 and 18.55 pesos per dollar, with volatility. Alejandro Gómez of GAEAP warned that another Fed hike would make short-term Mexican instruments less attractive.
Bloomberg measured the peso at 18.3925 per dollar in the early hours of Oct. 12, a gain of 0.13 %. That is an intraday reading, not a close.
