U.S.-Mexico economic interdependence through the USMCA, extensive security cooperation including record extraditions and joint operations against cartels, and Mexico's explicit rejection of troop deployments continue to anchor trader consensus against a U.S. invasion in 2026. Rhetoric early in the year about potential land strikes on cartels has not translated into territorial military objectives, while both governments have prioritized bilateral efforts that produced measurable declines in fentanyl flows and border encounters. Structural barriers such as congressional authorization requirements, alliance dynamics, and the absence of any buildup or official planning for occupation reinforce the low probability of an invasion scenario. Limited escalations, such as expanded targeted actions or further economic leverage, remain the more plausible near-term developments within the resolution window.