Friday, September 5th, 2025
Home »Stocks and Bonds » World » Mexican stocks dip

Mexican stocks dropped 1.36 percent on Friday as fiscal woes among smaller European economies spurred concern about emerging economies, while the peso posted a modest rise against the dollar. The benchmark Mexican IPC index of leading stocks dropped 419.74 points to 30,391.61 points, hit by losses in telecom and retail blue chips. Questions about the fiscal stability of Greece, Portugal and Spain weighed on investors' outlook for emerging economies.

Mexico's leading retailer, Walmex, dropped 2.57 percent to 57.99 pesos while cell phone operator America Movil fell 1.31 percent to 28.62 pesos. On Thursday, an antitrust regulator classed the America Movil as dominant in the cell market and said it could face more scrutiny.

Baking firm Bimbo also contributed to the overall market decline. Its shares gave up 4.13 percent to finish at 82.25 pesos. "Investors in the United States doubt that the recent rally in markets is sustainable, so it affects emerging markets," said Emilio Diez de Sollano, an economic analyst with Mexico consultancy Prognosis.

The peso firmed 0.23 percent to 13.03 per dollar at the central bank's reference close and ahead of a long weekend. The yield on Mexico's 10-year government peso bond was off nearly 2 basis points at 7.79 percent. "The bond market has moved sideways. Investors have confidence in national debt despite any profit-taking in the stock markets," Prognosis said. Mexican markets will be closed on Monday in observance of a national holiday.

Copyright Reuters, 2010


the author

Top
Close
Close