# Mexico’s Peso Was Upended By Hedging and Donald Trump - Bloomberg

> Bloomberg analysis explains that the Mexican peso, expected to be the strongest major currency this year, instead collapsed after Trump's election, with hedging flows amplifying the move. Forecasters had seen the peso as grossly undervalued at the start of the year.

- Date: 2016-11-16 · published 2016-11-16T12:00:00.000Z
- Category: macro · region Mexico · magnitude low
- Page: https://feedsoft.ai/events/74068-mexico-s-peso-was-upended-by-hedging-and-donald-trump-bloomberg
- Commodities: [Mexican Peso (MXN per USD)](https://feedsoft.ai/c/USDMXN.md)

## Why it matters

The peso's slump reflects heavy hedging and NAFTA uncertainty, which raises Mexican import costs for feed and grain and can curb demand for U.S. exports. The story describes past positioning rather than a new shock.

## Read by commodity

- USDMXN: bullish ▲

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2016-11-16/mexico-s-peso-was-upended-by-hedging-and-donald-trump

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