Mexican peso returns to Tequila days

Hammered to historic lows after Donald Trump’s presidential victory, Mexico’s peso earned a breather after the Bank of Mexico responded to growing global risks by delivering its fifth 50 basis points rise of 2016. But despite a whopping 275bp increase in interest rates since this time last year, the peso’s real effective exchange rate is the weakest since the Tequila Crisis two decades ago.

Source: Financial Times