President Donald Trump has temporarily halted a 25% tariff on Mexican imports following an agreement with President Claudia Sheinbaum. The deal, which grants a one-month pause, comes after Mexico pledged to deploy 10,000 National Guard troops to curb drug trafficking and illegal migration at the US border.

The agreement follows Trump's decision to impose tariffs on Mexico, Canada, and China as part of a broader strategy to pressure foreign governments on trade and security. While the pause provides temporary relief, negotiations will continue, led by senior US officials including Secretary of State Marco Rubio. Trump remains optimistic that a long-term solution can be reached.

Financial markets responded positively to the news, with US stocks recovering from early losses and the Mexican peso stabilising. Bitcoin, which had slumped to$91,178, rebounded to nearly$98,000 as investors adjusted to the easing tensions. However, concerns remain over impending tariffs on Canada and China, which could still trigger economic uncertainty.