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In a positive sign, the peso surged after the announcement and prices of Mexican bonds strengthened.
But the spreads between Brazilian, Argentine and Mexican bonds and American Treasury bonds have doubled within the past month.
And the new status means Mexican bonds are now represented in benchmarks like the Lehman Brothers Aggregate Bond index.
In France in the 1920s their prices fell by around 90%. Holders of Mexican bonds suffered huge losses in the 1980s.
The loans were attractive: Mexican bonds paid 6%, double the rate on the British consol.All this should have been a warning sign.
Investors snapped up all one billion dollars' worth of Mexican bonds redeemable in the year 2110, despite the fact that they pay only 6.1 percent a year in interest.
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Corporate debt has also grown healthily on Mexican bond markets.
Some 55 percent of the Mexican bond market, for example, is now owned by foreigners, up from 25 percent in 2010, according to Claudio Irigoyen, the Latin American strategist at Bank of America.
Reaching investment grade had little immediate impact on Mexican bond yields, although according to David Sekiguchi, a bond strategist at J.P. Morgan in New York, this was because it came in a particularly bad month for bond markets.
A ten-year Mexican bond yields only 1.1 percentage points more than a comparable U.S. Treasury.
By the time markets closed, Mexican government bonds yielded just 3.7 percentage points more than Treasury bonds, although they still yielded 1.2 points more than they had done a week earlier.
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