Mexican Peso Gets Crushed as Lopez Obrador’s Election Lead Looks Untouchable
- Lopez Obrador holds his own in first presidential debate
- Peso has dropped 4.5% since reaching a 6-month high last week
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Mexico’s peso is all of a sudden the worst performing major currency as investors begin to accept that the next president is likely to be the populist firebrand they feared.
It’s a stark reversal that took hold over the past week, coming after the peso posted the biggest global gains in the first quarter amid optimism the country would reach a favorable outcome in trade talks with the U.S. and Canada. Now, traders are refocusing on the political outlook before the July 1 election, and see Andres Manuel Lopez Obrador coasting to victory.