What's with the popular usage of latino or hispanic as a separate race?

From wiki: "The United States Census uses the ethnonym Hispanic or Latino to refer to "a person of Cuban, Mexican, Puerto Rican, South or Central American, or other Spanish culture or origin regardless of race."

Also, remember that there are many white/caucasian people in Mexico and other latin american countries that also are hispanic. Ricky Martin is an obvious example of a white Puerto Rican, for instance.

I am not saying a mestizo should necessarily be classified as "white", but there seems to be an idea these days that hispanics are a separate race, which is incorrect.