2012.06.01 17:55:22 MARKET TALK: Mexico Peso Moves, Motives Seen Overdone

11:55 (Dow Jones) Mexico's peso is suffering from exaggeration. US payrolls data for May were very bad, but didn't justify the spike to MXN14.55, says a Mexico City currency trader. Also overdone was the level of attribution of Thursday's peso slump to "just one poll" showing the leftist presidential candidate catching up with the frontrunner, the trader adds. RBS also sees election issues as secondary to US data, although "with a weak backdrop and the market not really pricing in any election related noise in Mexico, MXN looks vulnerable." US dollar recently quoted in Mexico City at MXN14.3885, compared with MXN14.3650 at Thursday's close. (anthony.harrup@dopwjones.com) Call us at (212) 416-3100 or email bradley.davis@dowjones.com (END) Dow Jones Newswires June 01, 2012 11:55 ET (15:55 GMT)