{"id":100635,"date":"2017-01-12T07:45:49","date_gmt":"2017-01-12T12:45:49","guid":{"rendered":"http:\/\/countingpips.com\/?p=100635"},"modified":"2017-01-12T06:57:33","modified_gmt":"2017-01-12T11:57:33","slug":"mexican-peso-updates-historic-minimum-after-trump-press-conference","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/01\/mexican-peso-updates-historic-minimum-after-trump-press-conference\/","title":{"rendered":"Mexican peso updates historic minimum after Trump press conference"},"content":{"rendered":"<div id=\"inves-1629416921\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">January 12, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By\u00a0Gabriel Ojimadu, Alpari<\/strong><\/p>\n<p>The key event of yesterday was Trump\u2019s press conference. The US president-elect spoke little of the economy and didn\u2019t give any new information about economic stimulus. Due to this, the dollar fell against many key currencies: the euro, yen, franc and pound.<\/p>\n<p>One of the few currencies which did weaken against the dollar after Trump spoke was the Mexican peso. The USD\/MXN has lifted above the psychological level of 22 and, in doing so, has updated its historic maximum. This is down to the fact that the president-elect confirmed his intention to build a wall along the US\u2019 border with Mexico, as he had promised throughout his election campaign. The wall would mean a harsher clampdown on illegal immigration. Moreover, it could see the introduction of import duties for Mexican goods, a reduction in employment for Mexicans in the US and the transferral of production sites from Mexico to the US. This fall in economic linkage could amount to a significant blow to the Mexican economy.<\/p>\n<p>In the past few weeks the Bank of Mexico has spent around $2 billion of its foreign reserves on supporting the peso. This has only made the fall for the currency a little less sharp, not being able to reverse the trend. When Trump was confirmed as the president-elect, the peso fell 25% against the dollar. If the Bank of Mexico doesn\u2019t undertake additional measures (e.g. raising interest rates or launching dollar swaps), the weakening of the peso is set to continue.<\/p>\n<div class=\"s_invisible_yes\">Source: &#8220;<a href=\"http:\/\/alpari.com\/en\/analytics\/reviews\/market_sessions\/17703_12012017\/\">Mexican peso updates historic minimum after Trump press conference<\/a>&#8220;<\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By\u00a0Gabriel Ojimadu, Alpari The key event of yesterday was Trump\u2019s press conference. The US president-elect spoke little of the economy and didn\u2019t give any new information about economic stimulus. Due to this, the dollar fell against many key currencies: the euro, yen, franc and pound. One of the few currencies which did weaken against the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-100635","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100635","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=100635"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100635\/revisions"}],"predecessor-version":[{"id":100636,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100635\/revisions\/100636"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=100635"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=100635"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=100635"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}