MEXICO CITY, Feb 17 (Reuters) - Mexico’s peso rose slightly on Tuesday, as positive data from Germany and hopes that Greece will reach a deal to remain in the euro zone lifted the beleaguered currency.
Mexico’s peso rose 0.1 percent in early afternoon trading to 14.9175 pesos per dollar after data from Germany showed analyst and investor sentiment climbed in February to its highest level in a year.
Talks among euro zone finance ministers broke down late on Monday and EU partners gave Greece until the end of the week to request an extension or lose financial assistance.
Nonetheless, many investors believe that whatever the rhetoric, both sides will find a face-saving deal before Athens’ credit lines expire in 10 days.
Mexico’s peso sank to a nearly six-year low this month as tumbling oil prices and fears of capital flight due to an expected Federal Reserve interest rate hike hit riskier emerging market assets around the world.
Mexico, Latin America’s second-largest economy, relies far more on manufactured exports than crude, but oil revenue makes up about a third of the federal government’s budget.
Mexico’s IPC index was up 0.15 percent at 43,019.42 points as shares in cement maker Cemex rose nearly 1.2 percent.
Markets in Brazil, the region’s largest economy, were closed for the Carnival holiday. (Reporting by Gabriel Stargardter; Editing by Chizu Nomiyama)