Mexico can withstand drop in oil prices: president

Mexican President Andres Manuel Lopez Obrador speaks during the morning press conference at National Palace, in Mexico City, March 9, 2020. (Xinhua/Str)

The Mexican peso hit a low of 22.13 to the U.S. dollar on the foreign exchange market, marking a 10-percent slide in a single day, its worst showing since October 2008.

MEXICO CITY, March 9 (Xinhua) -- Mexico's economy is strong enough to withstand the global drop in oil prices, and subsequent devaluation of the national currency, President Andres Manuel Lopez Obrador said on Monday.

Oil prices and stock markets plunged early in the day amid fears of the coronavirus, and "yes it impacted us," Lopez Obrador told reporters at his daily press conference.

"But we think that we are going to recover because ... we have sound public finances, we have good reserves and we don't have a deficit in our tax collection," said the president, adding "we have good signs in terms of economic growth."

International markets were buffeted by a possible oil price war and economic slowdown due to the spreading coronavirus.

The Mexican peso hit a low of 22.13 to the U.S. dollar on the foreign exchange market, marking a 10-percent slide in a single day, its worst showing since October 2008, according to Banco Base investment.

Mexico's Stock Exchange (BMV) dipped 5.38 percent on opening.