Mexican Peso collapses as President AMLO insists on controversial reforms

• Mexican Peso collapsed to 18.40 against USD after AMLO’s remarks on judicial and transparency reforms.
• AMLO’s comments on judicial reform and dissolution of autonomous bodies spur investor concerns.
• Mexico’s headline inflation rises for third month, while core inflation declines for 16th consecutive month.
• Strong US employment data boosts speculation of prolonged higher Fed rates.

The Mexican Peso sank to a new eight-month low against the Greenback on Friday after Mexican President Andres Manuel Lopez Obrador’s (AMLO) comments rattled investors who continued to sell Pesos amid an uncertain outlook. The USD/MXN trades at 18.39, gaining some 2.30% in the day, and set for weekly gains of 8.30%.

In his usual morning press conference, Mexican President AMLO insisted on presenting a judicial reform and another that involves the dissolution of autonomous bodies, like the INAI, the government’s transparency body.