Brocker.Org: The Mexican peso is jumping after Trump says he won’t ‘terminate’ NAFTA



The Mexican peso is climbing on Thursday after the Trump
administration said that, actually, it isn’t going to terminate

The peso is up by 1.1% at 18.9823 per dollar as of 7:36 a.m. ET.

A White House statement late Wednesday said US President Donald
Trump told leaders of Canada and Mexico that he will not
terminate the treaty, but will renegotiate with them.

Earlier that day,
reported that the administration is considering an
executive order on withdrawing the US from NAFTA. The
peso was down
by about 2.0% following the report.

As for the rest of the world, here’s the scoreboard as of 7:40
a.m. ET:

  • The Japanese
    is down by 0.3% at 111.37 per dollar after the Bank of
    Japan cut its inflation forecast and kept policy on hold. The
    bank said it now sees inflation of 1.4% in 2017, down
    from its previous estimate of 1.5% and below its 2%
  • The euro
    is little changed at 1.0899 against the dollar ahead of the
    European Central Bank’s meeting. Traders will be on
    the lookout for any clues as to when the central bank might taper
    its bond-buying program.
  • The Russian
    is up by 0.7% at 56.7757 per dollar, while Brent crude
    oil, the international benchmark, is down by 1.2% at $51.77 per
  • The US
    dollar index
    is little changed at 98.99 ahead
    of durable orders and initial claims, which will be
    released at 8:30 a.m. ET, and pending home sales, which will
    be out at 10 a.m. ET.
  • The British
    is up by 0.4% at 1.2896 against the dollar