The threat of a US tariff on Mexico’s tomato exports of 17% has been lifted. In the 1980s every US citizen consumed 5.5KG of tomatoes annually; that has now increased to 10KG. So a big deal for US consumers and a very big deal for Mexican tomato growers. Caramba!
This is the name given to securities backed not only with mortgages but with the guarantee of the issuer and as such are considered low risk. Berlin Hyp have issued a EUR 1Billion security yielding minus 0.59% which is the lowest rate yet and another tale in the negative interest rate saga that we have been describing in the past few weeks. So not such a stretch to being paid to borrow money to finance property and definitely expect cheaper mortgage rate offers in the next few months.
Following the piece on Texas, we have been asked to write about California which was claimed by Spain in the 1600s and named after an Amazon queen in a land named Califia from a novel . With no irrigation it was not a great place to live and work but things started changing when a revolution transferred ownership to Mexico in 1821 and then big time with the discovery of gold in 1849. Suddenly California became a sought after territory and was taken over by the USA following their victory in the American Mexican War in 1848 and was duly irrigated and settled. From a population in the 1820s of less than 20,000 California grew to 400,000 in the 1840s and today…nearly 40 million. California is now the 5th largest world economy with a $3 trillion gross state product larger than the UK but smaller than Germany.
Discussion and Analysis by Humphrey Percy, Chairman and Founder
Click Here to Subscribe to the SGM-FX Newsletter
Related Insights
Daily Brief – Sterling defence
Charles Porter
Tue 28 Apr 2026
Sterling defence Options markets are flashing warning signals for Sterling. It’s no secret that the forthcoming Bank of England monetary policy decision later this week poses a risk for the Pound. However, there are risks mounting further afield. The local elections on May 7th are a material risk for GBP, for example, with traders concerned the […]
Daily Brief – Cancelled Travel Plans
Charles Porter
Thu 23 Apr 2026
Cancelled Travel Plans No, this time not because of the impending jet fuel crisis threatening continental travel as we discussed yesterday. Instead, I’m referring to the grounding of Vice President Vance whose trip to Islamabad, Pakistan was cancelled on Tuesday to avoid embarrassment. The Vice President was expected to travel on Tuesday to resume talks […]
Daily Brief – TACO or MACO?
Charles Porter
Tue 21 Apr 2026
TACO or MACO? On Friday markets received headlines of the supposed conclusion to the closure of the Strait of Hormuz. Despite the vast consequences of military action upon the region and beyond, it has repeatedly been the Strait that has been cast as the epicentre of economic (mis)fortune during this war. Therefore, the initial reaction […]
