Just four months ago, investors in Mexico were bracing for disaster. Trade agreements were sure to be ripped up. Thousands of jobless Mexicans, expelled from their American homes, would flood back across the border. And the peso? Analysts could hardly cut their forecasts fast enough.
Turns out, life in the era of Donald Trump hasn’t been that bad so far.
Mexico’s benchmark equity index has erased the losses triggered by Trump’s win in November and is actually up 7 percent this year. The peso, the world’s biggest loser in 2016, is now staging a surprise rally that puts it atop the emerging-market heap. Investors including Discovery Americas say they’re investing in Mexico again after putting purchases on hold at the start of the year.