NEW YORK (TheStreet) -- TheStreet is hosting a livestream this morning to gauge reactions to Donald Trump's victory over Hillary Clinton Tuesday night. In January 2017 Trump will become the 45th President of the United States.
TheStreet's Rhonda Schaffler was joined by UBS' Head of Currency Strategy Thomas Flury, the pair dissected what a Trump win means for global currencies. Schaffler began with the Mexican peso, which declined Wednesday night when it became clear that Trump would be the winner. Schaffler asked Flury if he expects "the peso to find a floor at current levels."
"It all depends now on the development in the U.S., U.S. politics [and] how much we can trust that his first statements really is a guide for the next couple of years," Flury said. "We would expect that the cautious stance on the Mexican peso remains and that it remains important going forward and also that most investors have this cautious stance."
Moving on to the U.S. dollar, which is up Wednesday morning, according to The Wall Street Journal dollar index, Schaffler asked about Flury's expectations for the currency in the long and short term.
"What we have seen overnight is that the dollar first weakened quite considerably and then came back up again and I think this is also, in the very short term, the most likely development. We just have a lot of volatility."
We need a more concrete direction, Flury continued. The markets are still trying to figure out what to do in the wake of Trump's surprise victory. Investors were fearful a Trump presidency would come with unpredictable policies and result in unrest in the global economy.