MEXICO CITY Mexico's central bank chief Alejandro Diaz de Leon said on Wednesday that he is concerned that energy prices could rise in coming months, making it harder to bring inflation down toward the 3 percent target.
MEXICO CITY Auto parts output in Mexico will jump about 10 percent over the next three years as automakers scramble to adhere to stricter content rules laid out in a new North American trade deal, a top industry executive said on Monday.
By Bruno Federowski and Anthony Esposito
BRASILIA/MEXICO CITY, Sept 27 The Brazilian real
on Thursday strengthened past 4 to the dollar in intraday trade,
leading gains among Latin American currencies as traders
continued to unwind short bets amid speculation over the outcome
of this year's presidential elections.
The Argentine peso, however, continued to drop as investors
worried that a revised $57 billion program with the
International Monetary Fund, which assured the government's
funding until the end of next year, could hurt the ailing
economy and leave foreign exchange markets volatile.
"The initial market reaction to yesterday's (IMF)
announcement is mixed," said Grupo SBS in a note to clients.
The Argentine peso tumbled 2.65 percent.
Anxiety in Brazil around next month's vote drove the real
currency to boomerang in recent weeks, battered by near-daily
voter intention polls.
It approached all-time lows as traders feared the next
president could fail to curb ballooning public debt, but bounced
back in recent days as far-right lawmaker Jair Bolsonaro seemed
to consolidate its lead in a first-round vote.
Yet Bolsonaro, who has tapped a University of
Chicago-trained banker as an economic adviser, would probably
have difficulty beating his main rival, leftist Fernando Haddad,
who is backed by jailed former President Luiz Inacio Lula da
Traders say volatility is likely to stay high even after the
vote as clarity over what the next president will manage to
achieve is unlikely to emerge anytime soon.
"We're at peak volatility right now but that doesn't mean
that once the winner is known, everything will be smooth
sailing," a portfolio manager at a Rio de Janeiro asset manager
The real firmed 0.78 percent, the best-performing
currency in Latin America, though it shed some of its earlier
gains. Meanwhile, Brazil's benchmark stock index rose
1.44 percent, led by shares in Petroleo Brasileiro SA
, or Petrobras as the company is known.
Petrobras shares were up 6.3 percent in afternoon trading,
after the firm agreed to pay an $853.2 million fine to settle
charges that former executives and directors of the state-run
Brazilian oil company broke U.S. anti-corruption laws by bribing
politicians and then seeking to conceal the
It was the latest milestone for the company in turning the
page on the landmark "Car Wash" investigation.
Other markets in the region mostly rose, extending the
previous day's gains after the U.S. Federal Reserve raised
interest rates and left intact plans to steadily tighten
The U.S. central bank foresees another rate hike in
December, three more next year, and one increase in 2020. Some
investors had expected the bank to predict more rate hikes,
which could dampen demand for high-yielding assets.
The Mexican peso gained 0.24 percent, even as
uncertainty surrounding the renegotiation of the North American
Free Trade Agreement (NAFTA) weighed on sentiment.
The prospects for a quick deal to update NAFTA appeared to
dim on Wednesday after U.S. President Donald Trump blasted
Canada's stance and threatened to impose tariffs on cars
imported from Canada.
Key Latin American stock indexes and currencies at 1950 GMT:
Stock indexes daily % YTD %
Latest change change
MSCI Emerging Markets 1050.74 0.45 -9.71
MSCI LatAm 2584.41 1.95 -10.37
Brazil Bovespa 79789.77 1.44 4.43
Mexico IPC 49662.06 0.11 0.62
Argentina MerVal 33706.13 -0.7 12.11
Colombia IGBC 12388.87 0.58 8.95
Venezuela IBC 320899.56 -0.11 912.13
Currencies daily % YTD %
Brazil real 3.9932 0.78 -17.03
Mexico peso 18.8065 0.24 4.75
Chile peso 659.68 0.32 -6.83
Colombia peso 2985.05 0.42 -0.10
Peru sol 3.299 0.09 -1.88
Argentina peso (interbank) 39.6000 -2.65 -53.03
Argentina peso (parallel) 38.25 0.00 -49.73
(Reporting by Bruno Federowski in Brasilia and Anthony Esposito
in Mexico City
Editing by Alistair Bell and Sandra Maler)
MEXICO CITY The United States and Mexico plan to hold ministerial-level NAFTA trade talks on Thursday in Washington, the second such meeting within a week as efforts are ramped up to seal a deal on updating the 24-year-old accord, two sources said.
MEXICO CITY/OTTAWA Canada, the European Union, Japan, Mexico and South Korea will meet in Geneva next week to discuss how to respond to threats by U.S. President Donald Trump to impose tariffs on U.S. imports of autos and car parts, officials familiar with the talks said.
PUERTO VALLARTA, Mexico Led by Mexico, major Latin American nations pledged to deepen commercial and economic ties on Tuesday as they sought to counter the risk of a deepening trade war sparked by U.S. President Donald Trump's "America First" policy.
PUERTO VALLARTA, Mexico, July 24 Led by Mexico,
major Latin American nations pledged to deepen commercial and
economic ties on Tuesday as they sought to counter the risk of a
deepening trade war sparked by U.S. President Donald Trump's
"America First" policy.
PUERTO VALLARTA, Mexico U.S. President Donald Trump spoke warmly of Mexico's incoming leftist president on Monday, saying he expected to get "something worked out" on NAFTA, while a top Mexican official said there was scope to revive the trade talks this week.
MEXICO CITY Mexican bread-maker Bimbo on Saturday said that it had suspended some delivery routes in the violent state of Guerrero, the latest company to scale back its operations in what was once a glamorous tourist hub.
MEXICO CITY Mexico's business elite had warm words for President-elect Andres Manuel Lopez Obrador on Wednesday after he assured them he respected private enterprise, a contrast to jibes in his campaign that some tycoons belonged to a "mafia of power."