Mexican Peso Trades Near Record Low on Economic Growth Concerns

By Valerie Rota

Feb. 3 (Bloomberg) -- Mexico’s peso fell to near a record low on mounting concern the slumping U.S. economy will further curb export demand and trim investment flows to Latin America’s second-biggest economy.

The peso declined 0.6 percent to 14.5053 per U.S. dollar at 9:40 a.m. New York time. It touched 14.5739 yesterday, its weakest ever. Mexico’s currency has tumbled 32 percent over the past six months, the second-worst performance among the world’s major currencies after Brazil’s real.

Yields on Mexico’s 10 percent bond due December 2024 advanced for a seventh trading day to a one-month high. The yield on the benchmark security rose two basis points, or 0.02 percentage point, to 7.99 percent. The bond’s price fell 0.18 centavo to 117.99 centavos per peso, according to Banco Santander SA.

To contact the reporter on this story: Valerie Rota in Mexico City at vrota1@bloomberg.net.