The Mexican peso is far from the currency pair that everyone is doing. Most people shouldn’t trade very much in very minor currencies. However, the Mexican peso requires less margin, so it is suitable for those who want to do Forex with low funds. Basically, it is not suitable for day trading because of scalping. For swings. This time, I have summarized the economic indicators of Mexico in a list. There is no problem if you are aware of only the most important ones.
- Unemployment rate (importance: high)
- Gross Domestic Product (GDP) (Importance: High)
- Trade balance (importance: low)
- Central Bank of Mexico Policy Rate (Importance: High)
- Mining and industrial production (importance: low)
- Consumer Price Index (Importance: Medium)
- Current balance (importance: low)
- Fiscal balance (importance: low)
- Retail sales (importance: medium)
- Consumer Confidence Index (Importance: Medium)
Unemployment rate (importance: high)
The unemployment rate is the number of unemployed people divided by the labor force. Shows the percentage of the unemployed in the labor force. Please note that it will move the market price.
Gross Domestic Product (GDP) (Importance: High)
Gross domestic product is one of the most representative economic indicators released in various countries around the world, and is widely known by the abbreviation of GDP (abbreviation of Gross Domestic Product). It is a guide to show the economic power of the country (national income).
Trade balance (importance: low)
The export value (the amount that entered the country) minus the import value (the amount that went out of the country). Both exports and imports include not only goods but also insurance, freight, tourism and other services.
Central Bank of Mexico Policy Rate (Importance: High)
This is an interest rate policy announced by the Central Bank of Mexico. Please note that this indicator will greatly affect the unemployment rate fluctuation market.
Mining and industrial production (importance: low)
It is an index of production trends in the mining and industrial sector. Since you can know the status of business activities in the mining and industrial production sector, you can understand the economic status of the country.
Consumer Price Index (Importance: Medium)
The consumer price index is an index that shows the prices of goods that consumers buy. A number that represents the overall price level of goods and services purchased by general consumer households.
Current balance (importance: low)
It consists of four parts: “trade balance”, “service balance”, “(primary) income balance”, and “ordinary transfer (secondary income) balance”.
Fiscal balance (importance: low)
The fiscal balance is the income and expenditure of a country’s government. The pillar of income (revenue) is tax revenue, and expenditure is public investment and social welfare.
Retail sales (importance: medium)
Retail sales is an index that summarizes the sales amount of retailers such as department stores, supermarkets, and convenience stores. You can see the economic situation in the general society.
Consumer Confidence Index (Importance: Medium)
The Consumer Confidence Index reflects an individual’s feelings about economic activity and is calculated based on a monthly household survey. Includes consumer views on economic conditions, as well as savings and spending intent.