# TACO trade proves a gift for Mexico | IFR

> The peso rallied sharply against the dollar, peaking at Ps19.18 on May 26, its strongest level since October. Hedge funds have been buying the currency since mid-April as investors pull back from US assets. Analysts attribute the move more to dollar weakness than to Mexican strength.

- Date: 2025-05-30 · published 2025-05-30T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/24899-taco-trade-proves-a-gift-for-mexico-ifr
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A strong peso makes US imports cheaper for Mexican feed buyers, which can support US export demand for corn and soymeal. The effect is modest because the move is driven mainly by dollar weakness.

## Read by commodity

- USDMXN: bearish ▼

## Sources

- ifre.com: https://www.ifre.com/topic-codes/2266049/taco-trade-proves-a-gift-for-mexico

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.