# The next stumbling block for the Mexican peso | articles | ING THINK

> ING analysis says the Mexican peso has recovered from its post-election slump, supported by stronger-than-expected GDP growth and high interest rates. It warns that a drop in risk appetite is the main short-term threat, given heavy reliance on foreign inflows and large speculative long-peso positions. The peso is seen as among the most vulnerable emerging-market currencies if investors turn risk-averse.

- Date: 2017-08-09 · published 2017-08-09T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/69672-the-next-stumbling-block-for-the-mexican-peso-articles-ing-think
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

A stronger peso supports Mexican purchasing power for US feed imports, while a sharp reversal would make grains and meal more expensive for Mexican buyers. The outlook is a currency driver with limited direct effect on feed prices.

## Read by commodity

- USDMXN: neutral

## Sources

- think.ing.com: https://think.ing.com/articles/the-next-stumbling-block-for-the-mexican-peso/

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