Mexican stock exchange collapsed on the background of the forthcoming change of power in the country

© RIA Novosti / Dmitry Znamenskii of Mexico in the Central square of Mexico city. Archival photoMexican stock exchange collapsed on the background of the forthcoming change of power in the country© RIA Novosti / Dmitry Znamenskiy

The index of the Mexican stock exchange BMV collapsed on Monday amid a tense situation with migrants on the border with the United States and the upcoming inauguration on 1 December a new President Andres Manuel Lopez Obrador.

As reported by the exchange at the end of trading, the index fell by 4.17% to 39427,28 points. The figure below 40,000 points achieved for the first time since March 2014. Most of the losses suffered by the banking group Banorte, the second by market capitalization in the financial sector of Mexico, whose shares fell just 13% in just the past Monday.

Continues its decline and the currency is the Mexican peso. If the dollar exchange rate on Monday was set by the Central Bank of Mexico at the level of 20.53 pesos, the retail dollar is getting closer to around 21 pesos.

The last major drop of the BMV was observed on 8 November, when he fell by 5.81%, which was due to a sharp decrease of 9% of the quotations of the financial sector. A possible reason for the sharp drop in prices of experts was then called the intention of the party «Morena», which belongs to Lopez Obrador, to make amendments to the legislation forbidding banks to take the Commission percentage for the conduct of certain operations. Later, Lopez Obrador has denied the existence of such plans.

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