Mexican Peso's Volatility Jumps to Two-Year High on SVB Turmoil.

Increase in volatility - which is now the highest in two years as the gamma provided by short-term options serves as a buffer against such wild swings - reduces the attractiveness of Mexico's carry trade, which has been one of the main factors driving its gains in 2023. (Bloomberg) -- The selloff in the Mexican peso following the extreme volatility seen in global yield markets amid the collapse of Silicon Valley Bank has sent traders rushing to seek protection. [Extracted from the article]