Mexican Peso Leads Global Drop After AMLO Rejected Stimulus
- Currency tumbled as much as 4% against the dollar Wednesday
- AMLO’s attitude has drawn parallels with Brazil’s Bolsonaro
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The Mexican peso led global currency losses Wednesday after President Andres Manuel Lopez Obrador rejected calls for fiscal stimulus to offset the impact of the coronavirus pandemic.
The peso sank as much as 4% amid a global sell-off, its third decline in four days. While economists forecast the economy could contract as much as 7% this year, the president, commonly known as AMLO, says he won’t step in to aid the corporate sector. That makes him almost unique among world leaders, and hasn’t gone down well with investors.