Peso takes a pummelling

MARKET NEWS

Last week looked like a good opportunity to short the US dollar against the Mexican peso, but that wasn’t the case, says Greg Anderson, FX strategist at Fleet Financial Markets in Boston

As background to this week’s trading in dollar/peso, the prior two weeks had been characterised by extraordinary price action. The dollar rose from 9.02 pesos on April 11 to 9.36 on April 25 after Banxico, the Central Bank’s, surprise easing of monetary policy on April 12. Weakness in the US equity market an