Peso Drop Excessive, Central Banker Says

Bank of Mexico Gov. Agustín Carstens said the peso's recent slide to record lows was an overreaction amid uncertainty over the incoming administration of President-elect Donald Trump, which has generated concerns about the future of Mexico's relations with the U.S.

Speaking at an event in Mexico City, Mr. Carstens said a weakening of the peso is normal as rising international interest rates lead to adjustments in investment portfolios. But "I think we've had an overreaction in the exchange rate," he added.

The central bank sold $2 billion from reserves last week to support the peso after it fell in response to Ford Motor Co.'s decision to cancel an assembly-plant investment. It touched a new low Wednesday -- to as far as 22.05 pesos per dollar ahead of Mr. Trump's first press conference since the election -- then recovered ground.

--Anthony Harrup


Alleged Accomplices Of Terror Cell Charged

Belgian authorities charged two alleged accomplices of the Islamic State cell that struck Paris and Brussels with having provided one of the suicide bombers with fake papers.

The two suspects, identified as Farid K. and Meryem E.B., were arrested Wednesday and charged with having provided false documents to Khalid el-Bakraoui, the suicide bomber who exploded his backpack in a Brussels subway in March 2016.

The documents were used in preparation for the attack in Paris on Nov. 13, 2015, the Belgian federal prosecutor's office said.

While Farid K. was kept in custody and charged with participation in a terror group, Meryem E.B., a woman, was released under strict conditions and charged only with falsifying documents, it said.

Previously, Belgian prosecutors said el-Bakraoui used a fake identity to rent a flat in the southern Belgian town of Charleroi, where one of the Paris attackers hid before the assault.

--Valentina Pop


U.S. Troops Deployed, In Shift for Region

American soldiers rolled into Poland on Thursday, fulfilling a dream some Poles have had since the fall of communism in 1989 to have U.S. troops on their soil as a deterrent to Russia.

Some people waved as U.S. troops in tanks and other vehicles entered southwestern Poland from Germany and headed for the town of Zagan, where they will be based.

U.S. and other Western nations have carried out exercises on NATO's eastern flank in past years, but the new deployment -- which includes some 3,500 U.S. troops -- marks the first continuous deployment to the region by a NATO ally.

--Associated Press

(END) Dow Jones Newswires

January 13, 2017 02:47 ET (07:47 GMT)

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