Stocks, Peso Drop After Assassination Attempt on Donald Trump

The stock markets in Mexico and the Mexican peso are experiencing declines in the wake of an assassination attempt on former US President Donald Trump, a situation expected to increase his popularity and enhance his chances in the upcoming elections.

The Mexican Stock Exchange (BMV), representing the most traded local stocks, dropped by 0.32% to 54,776.06 points. Similarly, the FTSE BIVA index from the Institutional Stock Exchange (BIVA) fell by 0.27%, closing at 1,123.21 points. Most stocks are declining, with notable decreases observed in Alsea, down 2.03% to MX$62.23 pesos; OMA, which decreased by 1.69% to MX$163.07; and Coca Cola Femsa, down 1.62% to MX$155.04.

At the end of Monday's trading session, the exchange rate for the Mexican peso was MX$17.7649 per dollar, showing a 0.81% depreciation compared to MX$17.6223 per dollar at Friday's close. "The peso depreciation primarily stems from the heightened likelihood of Donald Trump winning the presidency on Nov. 5, following the recent attack. Today marks the commencement of the Republican National Convention, where his candidacy is expected to be officially confirmed," stated Banco Base.

Assassination Attempt on Donald Trump at Campaign Rally

In a routine campaign rally on Saturday, former President Donald Trump faced an assassination attempt resulting in injuries and casualties among attendees. The US Secret Service later confirmed that the shooter, identified as 20-year-old Thomas Matthew Crooks of Pennsylvania, was killed. 

The incident marks a significant moment in US history, as this is the first attempt against a current or former president's life in decades. Experts suggest Trump will experience a surge in support following the attack, buoyed by the powerful image of him raising his fist amid blood streaks against an American flag backdrop. “Even a slight boost in support could make the difference in a race set to be decided by razor-thin margins. Trump and Biden have been hoping to win over a small group of undecided voters in a few key battleground states while turning out voters who do not normally go to the polls,” said Joseph Stepansky, Reporter, Al Jazeera.