Mexico's IPC stock index slumped 1.31 percent on Friday while debt prices fell and the peso weakened sharply, all hurt by rising US debt yields.
The IPC stock index slid 280.37 points to 21,154.90 points in heavy trading. In the foreign exchange market, the peso weakened 1.66 percent to 11.0650 per dollar.
"Based on the latest developments in the stock market, it is possible that the downward trend extends," said a report from Monex financial group. "Still, it still could be considered a natural follow up to the sharp rise that the market had" in recent sessions.
Despite Friday's losses, the IPC index is up nearly 19 percent this year.
Stock market heavyweight America Movil, Latin America's leading cellphone operator, gave up 1.68 percent to 21.08 pesos and its New York-traded shares fell 3.41 percent to $37.95.
US Treasury debt prices sagged on Friday, after a spike in import prices for April offered bond bears an excuse to push yields toward key chart levels.
Higher US yields make Mexican investments less attractive to foreign investors.
The yield on Mexico's closely watched peso bond maturing in 2015 moved up 13 basis points to 8.55 percent.
The yield on Mexico's 20-year bond rose 14 basis points to 8.84 percent.
Miner Group Mexico, which has enjoyed a strong rally this year thanks to soaring copper prices, fell 1.37 percent to 38.81 pesos.