The USD/MXN pair continues its upward momentum for the second consecutive session, trading around 20.70 during Asian hours on Friday.
USD/MXN appreciates as Trump reiterated plans to impose a flat 25% import tax on all goods from Canada and Mexico . The economic slowdown in Mexico reinforces the likelihood of Banxico ’s larger rate cuts. US Gross Domestic Product Annualized fell to 2.3% in Q4 from the previous 3.1%, missing expectations of 2.6%. The Mexican Peso remains under pressure following renewed tariff threats from US President Donald Trump.
reported that Mexico’s GDP shrank by 0.6% in Q4 2024, a sharp contrast to the 1.1% expansion in the previous quarter and well below market expectations of a 0.2% decline. This marks the first contraction since Q3 2021. On an annual basis, GDP grew by just 0.6%, missing forecasts of 1.2% and reaching its lowest rate since Q1 2021. The economic slowdown aligns with signals from Banco de México that larger rate cuts could be on the horizon, particularly if US tariff threats materialize.
Tradewar Macroeconomics Mexico Banxico
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Asian Currencies Cautious as Dollar Rebounds on Trump Tariff SpeculationAsian currencies traded with limited movement as investors weighed the potential for less strict trade tariffs under incoming U.S. President Donald Trump. The dollar stabilized after recent losses, fueled by speculation about Trump's tariff plans. The Chinese yuan remained under pressure, hitting its weakest level in 17 years, due to new U.S. restrictions on Chinese companies and rising trade tensions.
Read more »
Trump's Win Sends Asian Currencies to Multi-Year LowsThe U.S. dollar's sharp appreciation since Donald Trump's 2024 election victory has driven Asian currencies to multi-year lows, raising concerns about imported inflation and complicating monetary policy.
Read more »
Trump's Victory Sends US Dollar Soaring, Asian Currencies PlummetingThe U.S. dollar has surged since Donald Trump's election win, causing Asian currencies to fall to multi-year lows. This trend raises concerns about imported inflation and complicates economic policy for Asian central banks.
Read more »
Trump's Election Fuels US Dollar Surge, Asian Currencies SlideThe US dollar has experienced a significant surge following President-elect Donald Trump's victory in the 2024 election, pushing Asian currencies to multi-year lows. This trend raises concerns about imported inflation and potential complications for central banks in managing their economies.
Read more »
Asian Stocks Mixed as Trump Tariff Plans EyedAsian stocks showed mixed performance on Tuesday, with Chinese shares surging on reports of a gradual U.S. tariff increase under Donald Trump. Japanese share declines weighed on the overall regional market. Investors are awaiting key inflation data this week to gauge the Federal Reserve's interest rate outlook.
Read more »
Immigration Divides Asian American Community Amid Trump's ReturnA new poll reveals that Asian Americans, Native Hawaiians, and Pacific Islanders (AAPI) are divided on Trump's immigration policies, even as immigration rises as a top priority for the community.
Read more »