Overview

• The peso closed at 18.3805 per dollar on Sept. 18, snapping an eight-session rally with a 0.34% decline.
• Interbank quotes held near 18.38 on Sept. 19, pointing to a stable market following the quarter-point U.S. rate cut.
• Banco Base linked the pullback to a firmer dollar and said a sub-18 exchange rate this year remains a low-probability scenario.
• Banks and transfer firms showed wide dispersion in quotes: Banco Azteca at 18.09/18.74, CitiBanamex at 17.82/18.84, Western Union at 18.55, and MoneyGram at 18.78.
• Analysts noted that stronger peso levels would help contain imported inflation and ease dollar liabilities but could weigh on exports and lower the peso value of remittances.