Mexican peso hits 6-month low at 17.5/USD as US yields spike

The Mexican peso weakened sharply to 17.5 per dollar, its worst day in six months, driven by a rise in US Treasury yields to levels last seen in 2007. The move reflects capital outflows from emerging markets as higher US rates tighten global financial conditions. Uncertainty remains over whether further peso depreciation will prompt Banxico intervention or policy response.