Exchange Rate and Stock Market in Mexico: A Correlation Analysis (1993-2022)


  • Gerardo Reyes Guzmán La Salle Bajío University
  • María Esther Pimentel Canizales Autonomous University of Sinaloa
  • Perla Esperanza Rostro Hernández La Salle Bajío University



nominal exchange rate, mexican stock market, dow jones, average, rates, inflation, Mexico, USA


The aim of this paper is to estimate using monthly data the influence of the Mexican Stock Market in the nominal Exchange Rate from 1993 to 2022. We conducted an Exploratory Data Analysis to identify the most important correlations of the following monetary variables: 28-day Mexican Debt bills/ (T-Bill), interest rates, inflation, and Stock Exchange Market both from Mexico and from the USA respectively. We then resorted to a VAR model to indentify which of these variables determined changes in Mexico´s nominal Exchange Rate more significantly. During the period in question the model showed, that Exchange Rate variations were driven by the Mexican Stock Exchange Market, the Dow Jones Industrial Average and the US Treasury Bills. The model also pointed out that variations in Mexican Stock Market were determined by the Mexican Stock Market itself, the Dow Jones Industrial Average and the US Treasury Bills (T-Bills).


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Author Biographies

Gerardo Reyes Guzmán, La Salle Bajío University

Faculty of Higher Studies Salamanca

Perla Esperanza Rostro Hernández , La Salle Bajío University

Faculty of Higher Studies Salamanca


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How to Cite

Reyes Guzmán, G., Pimentel Canizales , M. E. ., & Rostro Hernández , P. E. . (2023). Exchange Rate and Stock Market in Mexico: A Correlation Analysis (1993-2022). Nova Scientia, 15(31), 1–11.



Human and Social Sciences


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