Wednesday, July 10, 2019
Urzua’s abrupt departure is the most high-profile that AMLO has experienced in his seven months in office.
- The peso will be volatile for some time but a tight monetary policy should avert any long-term depreciation due to Urzua’s resignation.
- His resignation deprives the government of an individual trusted by the markets to contain the government’s most statist members.
- Herrera is known to favour lower interest rates, but there is no expectation that he will put undue pressure on the Bank of Mexico.