Peso Sinks After Trump Targets Mexico with Tariffs

The Mexican peso tanked today, logging huge losses, after US President Donald Trump signaled that Mexico will be another target for US trade wars.
Trump signaled that the United States will impose 5% tariff on all Mexican goods and will be increasing it further if Mexico does not stop illegal migrants coming to the USA. He twitted:

On June 10th, the United States will impose a 5% Tariff on all goods coming into our Country from Mexico, until such time as illegal migrants coming through Mexico, and into our Country, STOP. The Tariff will gradually increase until the Illegal Immigration problem is remedied,..

— Donald J. Trump (@realDonaldTrump) May 30, 2019

….at which time the Tariffs will be removed. Details from the White House to follow.

— Donald J. Trump (@realDonaldTrump) May 30, 2019

USD/MXN surged from 19.1804 to 19.7380 as of 9:35 GMT today, trading at the highest level since December 27.

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