Speculation over potential USMCA trade deal termination weighs on the peso as the dollar strengthens.
The Mexican peso fell to 17.55 against the US dollar Wednesday, driven by rising concerns over the possible cancellation of the USMCA trade agreement. The deal, signed in 2020, has been a cornerstone of North American trade relations.
Prior to the sell-off, the peso had traded near 17.30 earlier in the week. Analysts cited broader dollar strength as an additional headwind, though the USMCA uncertainty remains the primary catalyst.
Markets are monitoring developments closely, with traders pricing in heightened volatility for the peso in the near term.