Reported 2 months ago
The Mexican peso experienced a significant surge, leading a relief rally in emerging markets after the Bank of Japan signaled caution regarding interest rate hikes. This news eased pressure on currencies that had suffered due to investors retreating from yen-funded risk assets. Other emerging market currencies such as Brazil’s real, Indonesia’s rupiah, and South Africa’s rand also saw considerable gains. Despite the positive momentum, experts caution that the peso remains vulnerable to potential shifts in inflation or monetary policy in Japan.
Source: YAHOO