Feb. 5 (Bloomberg) -- Mexico’s dollar bonds fell to their lowest level in two months, a day after the central bank stepped up its intervention in the foreign exchange market to pull the peso back from a record low.
The yield on Mexico’s 6.75 percent bonds maturing in 2034 climbed 15 basis points to 7.84 percent at 9 a.m. in New York, according to JPMorgan Chase & Co. The bond’s price dropped 1.5 cents on the dollar to 88 cents, the lowest since Dec. 2.
Banco de Mexico carried out an “extraordinary intervention” yesterday beyond the $400 million-a-day auctions it’s been conducting since October to shore up the peso, the press office said. The peso touched a record low of 14.7059 yesterday and is down 27 percent over the past five months, the worst among the major currencies, as a deepening U.S. recession throttles demand for Mexican exports... http://www.bloomberg.com/apps/news?pid=2....