Valuation of Mexican peso falls to record low

Recent job growth in the U.S. has strengthened the dollar against other currencies, including the Mexican peso.
According to a government report released Friday, 280,000 jobs were created in May.
With the increase, The peso dropped to 16.06 MXN for every American dollar, the lowest it has been since 1993. The situation stabilized Friday evening, leaving the peso at 15.70 against the dollar.
Although some expected a low peso it still impacted the purchasing power of international shoppers.
“A more expensive dollar really affected our plans. Say you wanted to come and buy five things, now you can only buy three,” said Veronica Ruvalcaba, a shopper from Chihuahua city.
The peso was at 15.00MXN/USD two weeks ago, but had been depreciating since.
“It didn’t surprise us at all. The peso has been going down lately, and we expected it to be undervalued,” said Ernesto Serrano, a Juarez resident.
While some may be spending less in El Paso, others may not be spending at all.
“We thought about cancelling the trip; it was that big a difference. It was tough seeing how the purchasing power dropped,” said Ruvalcaba.
The same jobs report may also mean the Federal reserve will increase interest rates in September, good news for foreign investors bringing money to the U.S., but bad news for people taking out loans.