Ever since Donald Trump’s candidacy began to look inevitable this spring, the Mexican peso has been hit hard, losing around 15% against the greenback. “Mexico is in the frontline of his protectionist plans,” says the FT.
He has threatened to turn his back on the North American Free Trade Agreement (Nafta) and impose tariffs of up to 35% on Mexico’s $300bn of exports to its northern neighbour. The prospect of a Trump presidency is already taking its toll. There is anecdotal evidence of local companies putting their investment plans on hold until the election is over.