If Donald Trump is elected president, and he makes good on anti-free-trade harangues, Mexico would take a big hit. In a fresh report on the impact of the U.S. presidential election, Morgan Stanley notes that 80% of all Mexican exports go to the United States, and Mexico's manufacturing accounted for a fifth of GDP growth since the "Great Recession." Morgan Stanley notes that it would take at least six months for the U.S. to withdraw from the North American Free Trade Agreement, or Nafta, though "it is unclear whether unilateral withdrawal by a president would withstand a legal challenge given the Senate's role in ratifying treaties..." Analysts Nikolaj Lippmann, Lillian Starke and Luis Arcentales add: "While Mexico’s economy stands to lose disproportionately, a U.S. move towards leaving NAFTA would hurt both sides.
- Barrons.com•26 days ago
Mexico's central bank raised interest rates by a larger-than-expected 50 basis points to 4.25% to support the peso. UPDATED: The Mexican peso (MXN), which has stumbled by more than 5% against the U.S. dollar this year, was stronger by 1.3% against the dollar in recent trading. The iShares MSCI Mexico Capped exchange-traded fund (EWW) was up 1.5%, while the iShares MSCI Emerging Markets ETF (EEM) was up 0.8%.
|52wk Range||20.92 - 28.11|
|Day's Range||23.48 - 24.37|
|Avg Vol (3m)||61,384|
As of 3:59 PM EDT. Market closed.