Dec 14, 2014

Mexico moves as peso near 6-yr low, hedges add to pain

Reuters:  The Mexican peso slumped to its lowest level in nearly six years on Thursday, triggering central bank intervention, and analysts expect even deeper losses as foreign investors hedge record holdings of local currency debt.

Global markets have been sent into a tailspin after a sharp drop in oil prices prompted the selling of riskier assets near the year end.The peso is down more than 4 percent since Dec. 4, its worst six-session run in 1-1/2 years. On Thursday, it shed 1.4 percent to 14.7775 per U.S. dollar and triggered the central bank to sell $200 million at auction. Read more. 

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