The Peso Trade That Beat Strong Dollar in 2026

Mexico's peso has been one of the best-performing emerging-market currencies this year, even as the US dollar remains elevated. Lucas and Luna dig into why: nearshoring flows, a hawkish central bank, and a current-account surplus that broke a decades-old pattern. They also look at what happens next if US tariffs on Mexican goods escalate — and why the peso's strength may not last forever. Specific data: the peso gained roughly 12 percent against the dollar year-to-date through mid-May, while the trade-weighted dollar index hovered near 119. And Mexico's current account flipped to surplus in 2025 for the first time since the 1990s. #Mexico #Peso #EmergingMarkets #Currency #Nearshoring #CentralBank #Trade #Dollar #Tariffs #Banxico #CurrentAccount #FX #Economics #FexingoBusiness #BusinessPodcast #TradeAndTariffs #SupplyChain #LatinAmerica Keep every episode free: buymeacoffee.com/fexingo