The Mexican peso fell 1% against the dollar in a volatile session on Thursday after U.S. President Donald Trump reiterated his threat to impose 25% tariffs on Mexico and Canada, two of its top trade partners.

The Mexican Peso (MXN) erased its earlier gain after US President Donald Trump stated that he would impose 25% tariffs on Canada and Mexico due to Fentanyl. The USD/MXN trades at 20.74, up 1.17%.

The Mexican peso tumbled on Monday as investors worried that trade disputes would again whipsaw markets after U.S. President Donald Trump’s overnight threat to impose steep tariffs on Colombia.

The yen was on track for its best monthly start to the year since 2018 on Friday, helped by the view that the Bank of Japan (BOJ) is likely to keep raising rates this year while its global peers elsewhere look to ease policy.

The Mexican peso depreciated in international trade after U.S President Donald Trump announced he would impose tariffs on Colombia, reviving concerns about his trade policy. The currency, one of the most liquid currencies globally,

Relatively high interest rates, close proximity to the U.S., and vast petroleum reserves are all factors that contribute to the liquidity of the Mexican peso.

Over the weekend, US President Donald Trump informed his social network of Petro’s decision, which sparked several US retaliation measures including the tariff threat. Consequently, the Mexican Peso, used as a proxy for other Latin American currencies, weakened in early trading on Monday.

Analysis of the Mexican peso: discover the challenges it faces amid trade tensions with the United States and economic uncertainties.

Most Asian markets edged up Friday at the end of a week beset by volatility after China's DeepSeek unveiled a groundbreaking chatbot, while sentiment was dampened after Donald Trump confirmed he hit Canada and Mexico with hefty tariffs.

As the 2025 BMI Champion Award recipient, Peso Pluma joins a distinguished list of past honorees, including SZA, Khalid, Residente, Sebastian Krys, Inflo, Mark Ronson, Keith Urban and others. Meanwhile, Tito Double P joins Edgar Barrera, Ice Spice, Arlo Parks, RAYE, P2J and Tems, among others, in receiving the BMI Impact Award.

Discover how the Mexican peso remains strong despite tariff uncertainty. Gain insights into the factors that contribute to its resilience.

President Donald Trump’s renewed pledges to slap 25% tariffs on imports from Canada and Mexico on Feb. 1 jolted foreign exchange markets late in the New York trading session, sending currencies from both countries plunging against the US dollar.