A Mexican currency analyst has found that the peso declines as Trump’s odds for POTUS rise:
Over the past four months, Mexico’s currency has repeatedly declined when Trump’s election outlook improves and rallied when his odds of winning slump. The peso tumbled to a 2 1/2-month low Monday after his Democratic rival, Hillary Clinton, canceled a two-day trip to California because she’s suffering from pneumonia.
. . .
“There’s not a lot of appetite to go long the peso given the risk for a Trump victory,” said [head of currency strategy for Grupo Financiero Banorte SAB in Mexico City Juan Carlos] Alderete, who develops game plans for a team of currency and options traders at Mexico’s largest publicly-traded bank. “Among the different risk factors that affect all markets, this is one that could have greater consequences specifically for Mexico.”
And it makes Mexican goods less expensive for the American market.
