Despite the recent weakening from the U.S. Fed interest rate increase, the Mexican peso has been on a tear. Just recently, it was at a multi-year high against the US dollar and below 17.

The peso’s strength has defied just about every single analyst and expert. Even our own MND Peso Index estimates that the peso is nearly 6% overvalued against the dollar.

Recently, I did some analysis and calculated that if the peso had performed since the year 2020 as it did over the previous 25 years, it would currently be at 37 pesos to the US dollar! I wrote about it here: Why isn’t the peso at 37 to the US dollar? A perspective from our CEO.

So how can it be that it is currently trading at less than half of that rate? And can we expect it to devalue again anytime soon?

Check out the latest episode of “Confidently Wrong” as we talk through the latest peso strength and what might come next.

Travis Bembenek is the CEO of Mexico News Daily and has been living, working or playing in Mexico for nearly 30 years.