Why It Could Be a Good Time to Go Long Mexican Assets

The transcript discusses the rise of populism in Latin America, focusing on AMLO's election in Mexico and its impact on markets. It explores the potential responses of central banks, particularly Mexico's, to currency fluctuations. The discussion includes strategies for trading the Mexican peso and the influence of AMLO's strong congressional support. The transcript also covers the busy election calendar in Latin America, highlighting Brazil and Colombia, and examines the potential challenges in the relationship between AMLO and Trump, especially regarding NAFTA and economic policies.

Which leaders are compared to AMLO in terms of their political backgrounds and governance style?

• Trump and Macron

• Putin and Xi

• Lula and Humala

• Merkel and Trudeau

What is the expected response of Mexico's central bank to AMLO's victory?

• Significant intervention

• No immediate action

• Increase interest rates

• Decrease interest rates

What was the initial recommendation regarding the Mexican peso before AMLO's victory?

• Avoid currency trading

• Invest in US dollars

• Go short on the peso

• Go long on the peso

What is one of the risks associated with AMLO's strong congressional support?

• Increased foreign investment

• More public sector intervention

• Higher inflation rates

• Stronger peso

Which upcoming election is highlighted as significant in the context of populism in Latin America?

• Peru

• Argentina

• Chile

• Brazil

What makes the recent Mexican election historically significant?

• End of 80-year rule by two parties

• First female president elected

• Introduction of electronic voting

• Largest voter turnout in history

How is AMLO's relationship with Trump expected to be characterized?

• Cooperative and friendly

• Supportive and aligned

• Difficult and tumultuous

• Indifferent and neutral