Mexican banks have a trading advantage because they can buy and sell pesos from Mexico's central bank.

Some are urging the bank to strengthen the currency's value by buying Philippine pesos with the nation's dollar reserves.

It would go into the market and buy pesos at this price if no one else chose to.

The Government pledged to buy pesos if the peso slipped outside that range.

On Monday, Mexico used the credit line to buy pesos and, it hoped, bolster their value.

For the first time in a year and half, the central bank has had to sell dollars and buy pesos.

Mexico can use the dollars to buy pesos in foreign-currency markets, bidding up the peso's value or at least restraining its fall.

The bank asked the United States and Canada to buy pesos in an effort to strengthen the currency.

Traders estimate that the central bank entered the market today with about $75 million to buy pesos.

Currency traders in the United States reported that the central bank had spent $200 million to buy pesos at a rate of 7.60 to the dollar.