Dollar vs Mexican Peso: exchange rate, interest rates and strength
As of October 23, 2026, USD/MXN is 18.6638: 1 US dollar = 18.6638 Mexican pesos (1 Mexican peso = 0.05358 US dollars). The dollar is up 1.3% against the Mexican peso over the past year and down 7.7% over five years. Banco de México policy rate is 6.50% against 3.88% at the Federal Reserve; after inflation the real rates are 3.24% in Mexico and 0.48% in the United States.
Exchange rates as of October 23, 2026; policy rates, inflation and strength as of September 2026 or later. Refreshed weekly from the BIS and FRED.
What is the mexican peso to dollar exchange rate?
Mexican Peso vs dollar and Dollar vs mexican peso are the same question: this page quotes the pair the way markets do (USD/MXN).
| When | Mexican pesos per US dollar | Date | Change in US dollar's value |
|---|---|---|---|
| Now | 18.6638 | Oct 23, 2026 | |
| 1 year ago | 18.4297 | Oct 17, 2025 | +1.3% |
| 3 years ago | 18.2152 | Oct 20, 2023 | +2.5% |
| 5 years ago | 20.2120 | Oct 22, 2021 | -7.7% |
| 10 years ago | 18.6315 | Oct 21, 2016 | +0.2% |
| Measure | High | Low | Volatility |
|---|---|---|---|
| Past year | 18.6638 Oct 23, 2026 | 16.8630 Sep 4, 2026 | 8.1% a year |
| Past five years | 21.8530 Nov 26, 2021 | 16.4809 Apr 5, 2024 | 10.4% a year |
"Volatility" is the annualised standard deviation of weekly moves: 8.1% means the rate typically swings about that much up or down over a year. Exchange rates are the Federal Reserve's daily noon-buying-rate series (the H.10 release) from FRED.
Who pays more to borrow: the Federal Reserve or Banco de México?
A central bank's policy rate sets the price of short-term money in its currency; the 10-year bond yield is what governments pay to borrow for a decade.
- Dollar (Fed)
- Mexican Peso (Banco de México)
- Dollar
- Mexican Peso
| Central bank | Policy rate | As of | Last move |
|---|---|---|---|
| The Federal Reserve (USD) | 3.88% | October 20, 2026 | September 2026 (3.63% to 3.88%) |
| Banco de México (MXN) | 6.50% | October 20, 2026 | May 2026 (6.75% to 6.50%) |
| Country | Yield | Month |
|---|---|---|
| The United States | 4.99% | September 2026 |
| Mexico | 9.35% | September 2026 |
Banco de México rate is 2.63 percentage points above the Federal Reserve's. The policy rate is the rate a central bank sets for overnight lending (the Fed: mid-point of the Federal Reserve target rate). The 10-year yield gap is 4.36 percentage points, higher in Mexico.
What are real interest rates in the United States and Mexico?
A rate means little without inflation.
| Country | Policy rate | Inflation, year on year | Real rate |
|---|---|---|---|
| The United States | 3.88% | 3.40% August 2026 | 0.48% |
| Mexico | 6.50% | 3.26% August 2026 | 3.24% |
The real rate is the simple Fisher approximation: the policy rate minus the latest year-on-year consumer price inflation. A positive real rate means cash at the central bank's rate earns more than prices are rising; a negative one means it does not. Right now Mexico has the higher real rate (3.24% against 0.48%). Inflation is the BIS's consumer price series for each economy; the latest month differs by country (August 2026 for the United States, August 2026 for Mexico).
Is the Mexican peso strong, or just strong against the dollar?
A bilateral rate hides what a currency does against everything else.
- Dollar
- Mexican Peso
| Currency | Index now | Ten-year average | Versus its average | Ten-year range |
|---|---|---|---|---|
| Dollar | 107.1 | 102.2 | +4.8% | 91.7 to 114.5 |
| Mexican Peso | 140.3 | 115.2 | +21.8% | 88.9 to 144.6 |
This answers a different question from the exchange rate above. A currency can gain against one partner and fall against most others. The BIS's real effective exchange rate weighs a currency against its trading partners and adjusts for inflation differences, so a reading above 100 means it is more expensive than in 2020 and below 100 cheaper. In September 2026, the dollar was near its ten-year average and the Mexican peso was 21.8% above its ten-year average. The "stronger" and "weaker" labels use this site's own cut-off of 5% either side of the average.
Do interest rate gaps move the mexican peso-dollar exchange rate?
The textbook says money flows to the higher rate. The last ten years of data say this about this pair:
Over the past ten years, the change in the policy-rate gap and the change in USD/MXN had a moderate link (correlation -0.22, 39 three-month windows); for 10-year yields, the change in the yield gap and the change in USD/MXN had a moderate link (correlation -0.39, 28 three-month windows).
How this is measured: for each non-overlapping three-month window, the change in the gap between the two rates (Mexican Peso minus Dollar, in percentage points) against the percentage change in the price of one mexican peso in us dollars. A correlation of 0 means no link and 1 or -1 a perfect one; under 0.2 is weak and over 0.5 strong. A link is not a cause, and a weak link over ten years says little about the next three months. This is an observation, not a forecast.
Frequently asked questions: dollar vs mexican peso
What is the mexican peso to dollar exchange rate today?
As of October 23, 2026, 1 US dollar = 18.6638 Mexican pesos, or 1 Mexican peso = 0.05358 US dollars. That is up 1.3% for the dollar over the past year, up 2.5% over three years and down 7.7% over five years against the Mexican peso.
Is the Mexican peso stronger than the dollar?
It depends what "stronger" means. Against the dollar alone, the dollar is up 1.3% over a year. Against a basket of trading partners, adjusted for inflation (the BIS real effective exchange rate), the Mexican peso is 21.8% above its ten-year average and the dollar is near its ten-year average.
Which has the higher interest rate, the Federal Reserve or Banco de México?
Banco de México policy rate is 6.50% and the Federal Reserve is 3.88%, so Banco de México is higher by 2.63 percentage points. The 10-year government bond yields are 9.35% in Mexico and 4.99% in the United States.
What are the real interest rates in the United States and Mexico?
The real rate is the policy rate minus year-on-year inflation: 0.48% in the United States (3.88% less 3.40%) and 3.24% in Mexico (6.50% less 3.26%).
How much has USD/MXN moved in five years?
Over the past five years USD/MXN has ranged from 16.4809 to 21.8530, and its volatility over the past year was 8.1% a year, against 10.4% over five years.
Why does the mexican peso-dollar exchange rate matter for stock investors?
Companies that earn or pay in more than one currency see their reported profits move with exchange rates, and a currency's strength affects imports, exports and the value of overseas investments. Use the screener to look at the companies themselves, and dollar vs euro for money supply and cash in circulation.
Where does this data come from, and how often is it updated?
Policy rates, inflation and the real effective exchange rate come from the Bank for International Settlements (BIS) Data Portal; exchange rates and 10-year yields come from FRED (the St. Louis Fed). The page is rebuilt every week.
Where does this data come from?
- Policy rates, inflation and strength: BIS Data Portal: central bank policy rates, consumer price inflation (year on year) and the real effective exchange rate index (broad basket, 2020 = 100).
- Exchange rates and 10-year yields: FRED (St. Louis Fed): the Federal Reserve's H.10 daily exchange rates and OECD 10-year government bond yields.
- Method and limits: every figure is shown as published, with its date, and refreshed weekly (data as of October 23, 2026). There is no composite score, and nothing here predicts where a rate goes next. Read the Editorial Standards for how this site handles data.
Educational content only, not investment, currency-trading or tax advice. Exchange rates and interest rates move for reasons no single table captures.