Agustin Carstens, Mexico central bank governor, said the peso and the monetary units of the other Latin American currencies are set to bounce back after a rough patch, according to Bloomberg. Carstens made the comment Sunday in Washington for the fall meeting of the International Monetary Fund. After convening with Latin American central bank governors, Carstens told reporters they are in accordance about the belief that the recent sell-off will not last.
He predicted "an important correction" will soon occur, while also noting Latin American monetary units have been oversold.
Another Mexican official asserting for the strength of Latin America's most traded currency is Gerardo Rodriguez, the nation's deputy finance minister. While the market fluctuates due to volatility, Rodriguez told Reuters the peso will stabilize.
"If we remember the episode of 2008 … it needed intervention by authorities to preserve the integrity of markets," Rodriguez told local radio last week. "We are not seeing this situation at the moment because liquidity is still flowing."
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