Mexico’s peso falls to worst annual decline against US dollar in 16 years By Reuters

MEXICO CITY (Reuters) – The Mexican peso has weakened nearly 23% this year to close the last trading day at 20.82 pesos per U.S. dollar on Tuesday, the currency’s biggest drop against and the greenback since the 2008 global financial crisis.

The peso’s volatile year began with months of success in the days following June’s general election, which swept the left-wing coalition led by King’s ruling party to a landslide victory in the joint presidential race. and the great councils of congress.

Before the election, the Mexican currency traded in April at around 16.26 pesos per dollar to a nine-year high.

King’s electoral success paved the way for passage of constitutional reforms in September, including a major judicial overhaul that critics say will undermine the independence of courts in Latin America’s second-largest economy.

The election of US President-elect Donald Trump in November further weakened the peso, amid his new tariff threats against Mexico, which exports about 80% of its exports. to its northern neighbor.

Mexico’s main stock index also fell in value during the year, down nearly 14% to close on Tuesday at 49,513 points, the biggest fall since 2018.