# Mexican peso falls on Fitch warning, fears over new government

> Mexico's peso fell 2 percent after Fitch revised the country's debt rating outlook to negative, warning of a possible downgrade over concerns about the incoming government's policies. The currency slid to its worst month in two years. The outlook change came two days after president-elect Andres Manuel Lopez Obrador said he would cancel a partly built Mexico City airport.

- Date: 2018-10-31 · published 2018-10-31T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/62741-mexican-peso-falls-on-fitch-warning-fears-over-new-government
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A weaker peso and rising sovereign risk raise the dollar cost of Mexican imports, including feed ingredients and corn, while the currency move can shift Mexican buying behavior on US feed commodities. The effect on grain prices is indirect and modest.

## Read by commodity

- USDMXN: bullish ▲

## Sources

- afr.com: https://www.afr.com/markets/currencies/mexican-peso-falls-on-fitch-warning-fears-over-new-government-20181101-h17cvb

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