The Mexican Stock Exchange reported its worst month since August 1998

The Mexican Stock Exchange reported its worst month since August 1998, the year in which it accumulated a monthly loss of 29.52 percent, affected by expectations that the upward cycle of interest rates by the Central Banks will continue.

The index of the country’s main stock exchange, the S&P/BMV IPC ended this month with a contraction of 6.70 percent, going from 48,144.33 to 44,919.22 points, a decrease of 3,225.1 units.

Carlos Hermosillo, an independent analyst, explained that “the most important thing that has affected the short term is the expectation that monetary policy around the world will follow a restrictive path, eventually seeking to curb inflationary pressure; In this, we must consider that there are two specific fronts that are already changing: the levels of rates, and the reduction of the balance sheets of the central banks (the so-called QE). The problem is that this occurs at the same time that the indicators of economic dynamism point to a serious weakening, which could deepen with the monetary strategy”.

Among the companies listed on the Stock Exchange, the three that show the greatest decreases in their yields are the media station Televisa, with 21 percent less, the mining company Industrias Peñoles, with 19.26 percent, and those of the telecommunications service provider, Telesites, which fell 15.93 percent.

In contrast, the shares with the highest gains are those of the concession operations company, Pinfra, with 6.98 percent, the OMA airport group increases of 6.10 percent, and Industrias Bachoco, a poultry producer, rises 4.45 percent.

“It seems to me that the rest of the year the capital market in Mexico will possibly have some recovery, although nothing spectacular and mainly generated by the excessive price reduction. This will depend on the moment when it is confirmed that inflation has peaked and with this, we can have a clearer picture of how far interest rates will go in the United States and therefore in Mexico,” added the specialist.

Subscribe here for just .08 cents per day to read subscriber content, join the PVDN newsletter, and browse with site ad-free. Support local news.

Trending news on PVDN

  • International Space Station captures mesmerizing video of Puerto Vallarta from space Puerto Vallarta (PVDN) – People in Puerto Vallarta got a chance to see the Bay of Banderas from space, thanks to the International Space Station’s external cameras that share video as it orbits the earth. Through their Twitter account, @ISSAboveYou, they shared a video of the space station orbiting above Puerto Vallarta and then passing…
  • Government stops construction on four condominium developments in Puerto Vallarta for violations The Secretary of Environment (Semarnat) in Jalisco, Raúl Rodgríguez Rosales, reported that the government agency stopped the construction of four condominium developments in Puerto Vallarta for not complying with regulations.
  • The age-old question: Is it safe to travel to Mexico? Puerto Vallarta (PVDN) – A series of incidents, including taxi driver protests in Cancun while pulling Uber drivers and their passengers out of cars and beating them, and a stray bullet at the Culiacán Airport, have led foreign tourists to question whether it is safe to travel to Mexico, according to The New York Times.…
  • At least 4,000 spring breakers expected in Puerto Vallarta this year Puerto Vallarta (PVDN) – At least 4,000 spring breakers will arrive in Puerto Vallarta this year, bringing with them a significant economic benefit for the destination. This was confirmed by the manager of the office of the Municipal Tourism Directorate, Christian Preciado. “We bring around 4,000 confirmed spring breakers with the holiday period, they are…
  • EGates: state-of-the-art technology coming to Puerto Vallarta airport In order to guarantee fluid and fast access to international travelers, Mexico adds three more destinations with EGates technology: Puerto Vallarta, Guadalajara, and Los Cabos. The commissioner of the National Institute of Migration (INM), Francisco Garduño Yáñez, verified the operation of the 18 E-Gates -automated migration filters- installed at the Cancun International Airport, Quintana Roo,…
Puerto Vallarta News

Compare Listings

Title Price Status Type Area Purpose Bedrooms Bathrooms
error: Please contact PVDN if you wish to reprint something from this website