Trump makes Mexican peso great again - Reuters

Reuters reports, "Mexico’s peso has improbably been the world’s top-performing currency since Donald Trump’s presidential inauguration, and an increasing number of emerging market fund managers said it could rebound further from its nosedive following the U.S. election."

Key Highlights:

•The peso was up 8 percent since Trump's inauguration on Jan. 20 despite his proposal last week of a 20 percent border tax on Mexican imports and the collapse of a scheduled face-to-face meeting with Mexican President Enrique Pena Nieto.

•The peso has continued its tear even as Trump has reiterated concerns about the North American Free Trade Agreement.

•Deutsche Bank asset managers said earlier this week they believed the peso had hit a near-term bottom.

•Michael Gomez, PIMCO's head of emerging markets portfolio management, said that while he expects the background to remain noisy, "Mexican assets and the peso specifically already incorporate much of the expected downside risk."

•"The peso is cheap certainly and absent a big unfavorable change to NAFTA, you will make great money investing in Mexican bonds. But a change to NAFTA that's unfavorable, and who knows," said Kieran Curtis, investment director at Standard Life Investments in London.