|Day's Range||18.993 - 19.052|
|52 Week Range||18.3935 - 20.9584|
Moody's de Mexico S.A. de C.V (Moody's) downgraded today the State Of Durango's issuer ratings to Ba2/A2.mx (Global Scale rating/Mexican National Scale rating) from Ba1/A1.mx, and changed the outlook to negative from stable. Moody's also downgraded the rating on the State Of Durango's MXN 980 million enhanced loan from BBVA Bancomer to Baa2/Aa2.mx from Baa1/Aa1.mx. Moody's will withdraw the State Of Durango's issuer and debt ratings due to insufficient information on the next business day.
Moody´s de México, ("Moody´s") has affirmed the B1 (Global Scale, local currency) and Baa3.mx (Mexican National Scale) issuer ratings of the Municipality of Ecatepec de Morelos, and changed the outlook to stable from negative. At the same time, Moody's affirmed the debt ratings of the municipality's MXN 250 million enhanced loan from BBVA Bancomer at Ba1/A1.mx.
Moody's de Mexico S.A. de C.V. withdrew the Ba3/Baa1.mx (Global Scale, local currency/Mexico National Scale) issuer ratings of the Municipality of Cuautitlán Izcalli and also withdrew the negative outlook. At the same time, Moody's de Mexico withdrew debt ratings of the MXN 200 million loan (original face value) with BBVA Bancomer of Baa3/Aa3.mx (Global Scale, local currency/Mexico National Scale) and the MXN 75 million loan (original face value) with Interacciones of Baa2/Aa2.mx (Global Scale, local currency/Mexico National Scale).
(Updates prices, adds market strategist's quote on Mexican peso) By Aaron Saldanha May 15 (Reuters) - A Latin American stocks benchmark fell on Wednesday, while most Latin American currencies weakened against the dollar as surprisingly weak data out of China dented risk sentiment and overcame optimism arising out of news of the United States planning to delay a decision on tariffs on auto imports. Data showing China's industrial output growth in April slowed more than expected set a negative tone overnight for Latin American markets. The world's second-largest economy is a key destination for exports of Latin American resources.
Investing.com - U.S. President Donald Trump’s threats to hike tariffs on Chinese good sent ripples through financial markets on Monday, dampening risk sentiment and boosting safe haven assets.
Latin American currencies ended on a high note on Friday against a weaker dollar after robust U.S. jobs data painted a brighter picture for global growth and gave the U.S. central bank more reason to stay on its dovish path. MSCI's index of Latam currencies rose 0.6 percent as regional currencies made impressive gains as the dollar slid. Mexico's peso surged 1 percent to log its biggest one-day jump in a month, without which it would have ended lower on the week.
JPMorgan Chase & Co. moved the currency to its underweight category last week, despite an overall neutral stance on Latin American peers, citing crowded bets on peso gains, unattractive valuations and bond-market outflows. In addition, oil prices that helped support the peso last month are likely to plateau, say Bulltick LLC strategists Kathryn Rooney Vera and Gregan Anderson. Another warning sign comes from debt markets, where foreign investors are selling their holdings of peso-denominated government bonds at the fastest pace since late last year, when President Andres Manuel Lopez Obrador took office.
Moody's de México, S.A. de C.V. ("Moody´s") has withdrawn on April 26, 2019 the ratings of A3 (sf) (Global Scale, Local Currency) and Aaa.mx (sf) (National Scale of Mexico) assigned to the Series A-2 certificates HSBCCB 08-2 issued by Banco Invex SA, Institución de Banca Múltiple, Invex Grupo Financiero, Fiduciario ("Invex") acting as trustee. The certificates were backed by a pool comprised of Mexican peso-denominated, fixed-rate, first-lien mortgage loans (RMBS) secured by residential homes located in Mexico originated and serviced by HSBC Mexico, S.A., Institución de Banca Múltiple, Grupo Financiero HSBC ("HSBC").
Mexican conglomerate Femsa on Monday reported first-quarter growth, particularly in its Oxxo convenience stores near the U.S. border after President Andres Manuel Lopez Obrador this year raised wages and lowered taxes in the region. Net profit jumped nearly 1,000-fold, helped by an easy comparison with the same quarter a year before, when Femsa's Coca-Cola bottling unit suffered from the Mexican peso's appreciation against the U.S. dollar. For the January-March period, Femsa posted 2.2 billion pesos ($115 million) in net profit, up from just 2.3 million pesos a year earlier.
Emerging market currencies get a lift after a stronger-than-expected U.S. jobs report boosts appetite for assets perceived as risky.
Editor's note: This article is a part of InvestorPlace.com's Best ETFs for 2019 contest. Ian Bezek's pick for the contest is the iShares MSCI Mexico Capped ETF (NYSEARCA:EWW).The Mexican stock market kicked off 2019 on the right foot. And despite a strong U.S. Dollar, the Mexican Peso has also held its ground. The result is that the iShares MSCI Mexico Capped ETF (NYSEARCA:EWW) is up 7% year-to-date, and it has rallied more than 17% from its late 2018 low.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThat's not all: There's likely more good news to come for Mexican stocks.That, in turn, will lift EWW stock as 2019 continues. Despite political rumors that drove Mexican shares down sharply last year, its government and the Trump administration continue fostering closer relations.Meanwhile, the Federal Reserve's easier monetary policy is likely to help boost all-important industrial production in Mexico. With all of that in mind, let's take a closer look at how Mexico is faring so far this year. Mexico and the U.S. Build Closer TiesLet's head back in time to November 2016, when Mexican stocks were in freefall. The Peso lost more than 10% of its value in the moments following Trump's upset victory on election night. Within a few weeks, Mexican stocks plummeted more than 20%. With Trump's incendiary rhetoric on the campaign trail, many feared that U.S.-Mexican relations were heading for a nasty turn. Living in Mexico at the time, I suspected otherwise.Mexico and the U.S. are too close culturally for relations to break down. * 10 F-Rated Stocks to Sell in This Narrow Market There are an estimated 1 million North American expats in Mexico. To the north, there are tens of millions of Mexicans and Mexican-Americans in the United States. Additionally, 80% of Mexico's manufacturing output goes to the U.S., and on the other end, Mexico is the U.S.' second largest trading partner after China. A U.S. analysis firm suggested that America would lose several million jobs if Trump followed through on rhetoric to scrap NAFTA.As game theory would suggest, cooler heads prevailed. Mexican stocks soared in 2017, with many running 30-50% off the election lows within six months. Amazingly enough, this whole process started to repeat in 2018. This occurred when Mexico elected a socialist-leaning president, Andres Manuel Lopez Obrador "AMLO". AMLO's victory ended several decades of centrist or right-wing rule in Mexico. Again, foreign analysts predicted that Mexico was about to go to pot. Hence the great buying opportunity in late 2018 as foreign money fled the country.Since taking office, however, AMLO has doubled-down on closer relations with the U.S. Last week, the Mexican president announced that the U.S. and Mexico are close to terms on a new $10 billion investment package that will spur investment in Mexico and Central America while stopping migrant caravans to the U.S. Furthermore, he suggested that the U.S. is open to giving Mexico more favorable treatment on contentious steel tariffs. Fighting CorruptionAMLO campaigned on a populist platform centered around limiting corruption. Mexico has a well-earned reputation for being a corrupt country, and this unfortunate reality has greatly limited economic growth. Of course, all Mexican politicians pay lip service to the idea of fighting this vice.But AMLO is actually taking decisive action. In January, for example, he cracked down on narco groups that tap the country's gasoline pipelines robbing fuel for profit. This move caused a two-week nationwide gas shortage. Analysts expected AMLO to meekly back down, giving the narcos another victory. Instead, he held his resolve, with the Mexican people polling at 70% in favor of his actions, and his first big move against illicit activity was an unquestioned success.AMLO also raised concerns by canceling plans for Mexico City's long-awaited new international airport. This caused another selloff in Mexican stocks and its currency, particularly since the government had already issued debt to pay for the airport. But AMLO said the airport contract involved corruption, and was a plot to enrich the elites. He is instead working on an alternate plan to increase capacity at outlying airports around Mexico City. Over time, foreign analysts are now seeing that AMLO is a man who sticks to his word, rather than an unhinged radical as he was widely perceived last year. Mexico's Economy: Doing Fairly WellMexico's economy dipped slightly as AMLO took office. It contracted 0.4% in November and December as some businesses and consumers pulled back, waiting to see what the new government would look like. However, consumer confidence is rebounding, and economic activity is picking up again. On Monday, January GDP figures came out, and the economy grew 0.2%, blowing away expectations for another month of contraction. While there's still risk around the new government, AMLO is not trying to position himself as pro-business in general, on-the-ground economic activity is picking back up again.For the year, GDP growth estimates now range between 1.1% on the low end and 2% on the high end from official Mexican sources. This is hardly booming economic growth for an emerging market, but it's fairly good nonetheless, given all the headwinds that emerging markets currently face. Additionally, Mexico's inflation rate has dipped back to 3.9% after topping 7% in the wake of Trump's victory. On top of that, unemployment is low.When you look around Latin America, Mexico is looking like one of the best options. You see horrific economic performance in some countries -- Argentina shrunk by almost 3% in 2018 for example. Others, like Brazil, are barely above the flatline, while Chile has been in a near no-growth state for many years now. EWW Stock: Well-Positioned As the United States' Key PartnerMexico is on structurally better footing as its economy is overwhelmingly driven by selling things to the United States. Now that there is a new NAFTA agreement and AMLO and Trump have a buddy-buddy relationship, things look quite solid for EWW over the next year. Mexico is not vulnerable to commodity price shocks like most emerging markets. And its reliance on the United States keeps it relatively safe from further economic weakness in either China or Europe. * 7 SaaS Stocks to Buy for Long-Term Gains Finally, now that the Fed has abandoned its hard money policy and said there will be no more rate hikes, expect industrial activity to pick up again. Companies were putting off expansion knowing that higher interest rates would slow down demand. With the Fed now easing off the brake, the American economy should be set for a better 2019 than people were expecting just three months ago. And for the U.S. to grow, it needs to order more basic manufactured goods from its leading supplier, Mexico.With Mexico's economy already picking back up and the government performing well-ahead of expectations, the Fed's latest moves should be the final catalyst needed to get EWW stock really moving as 2019 progresses. EWW stock, currently at $44, could trade back to its 52-week-high of $54.Look for political concerns to ease and manufacturing activity to accelerate. The pieces are in place for Mexico to continue having a fine year.At the time of this writing, Ian Bezek owned various individual Mexican equities, though he had no position in the EWW ETF. You can reach him on Twitter at @irbezek. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Tech Stocks With Key Products That Face an Uncertain Future * 7 SaaS Stocks to Buy for Long-Term Gains * 5 Semiconductor Stocks That Are Scorching Hot Buys Compare Brokers The post Best ETFs for 2019: The iShares MSCI Mexico Capped ETF Is Holding Strong appeared first on InvestorPlace.
Investing.com - The U.S dollar was flat against its rivals Monday as a wobble in sterling helped offset losses and data showing the U.S. housing market continued to stutter.
Risk appetite towards Latin America was broadly boosted by Mary Daly suggesting the U.S. Federal Reserve may hold off on raising borrowing costs in 2019. Mexican officials said the government would infuse $3.6 billion into ailing state oil firm Pemex, aiming to bolster its finances and avert a further credit downgrade. Daly's comments enabled the peso to wipe away the losses it incurred after the announcement on Pemex.
Speculators reduced their bullish bets on the U.S. dollar in the week ended Jan. 22 to the smallest position since September, according to calculations by Reuters and Commodity Futures Trading Commission data released on Friday. In a wider measure of dollar positioning that includes net contracts on the New Zealand dollar, Mexican peso, Brazilian real and Russian ruble, the U.S. dollar posted a net short position valued at $27.55 billion, down from $32.03 billion, a week earlier.
Latin American currencies were mixed on Friday with the Mexican peso slipping against a strong dollar but Brazil's real rising, bucking a negative trend among its emerging market peers as investors cheered ...
Most Latin American stocks fell on Thursday as fears about slowing global growth weighed, and while Latin America currencies broadly softened against the dollar, the implicit hawkishness perceived in an ...
Moody's de México, S.A. de C.V. ("Moody´s") has withdrawn the ratings of A3 (sf) (Global Scale, Local Currency) and Aaa.mx (sf) (National Scale of Mexico) assigned to the Class A certificates HSBCCB 07 issued by Banco Invex S.A., Institución de Banca Múltiple ("Invex") acting as trustee. The certificates were backed by a pool comprised of Mexican peso-denominated, fixed-rate, first-lien mortgage loans (RMBS) secured by residential homes located in Mexico and originated and serviced by HSBC Mexico, S.A., Institución de Banca Múltiple, Grupo Financiero HSBC ("HSBC").
Latin American currencies firmed against a sharply weak dollar on Friday, with the Mexican peso posting its longest streak of weekly gains in almost 18 years. The dollar held losses after U.S. President Donald Trump announced a tentative agreement with lawmakers to end a partial U.S. government shutdown on the 35th day of the shutdown. Among regional currencies, the Mexican peso rose 0.2 percent and posted its ninth straight week of gains - the peso's the longest run of weekly gains since April 2001.
The Mexican peso climbed about half a percent, a day after data showed that inflation for the first half of January rose at a milder pace than forecast, despite gasoline shortages suffered in many parts of the country amid a government crackdown on fuel theft. Chile's peso gained more than 0.8 percent on the day and was set to end the week higher. Chile's central bank is expected to increase its benchmark interest rate to 3 percent from 2.75 percent at its policy meeting next week, according to a monthly poll of 61 traders published by the bank on Friday.
Latin American currencies were mixed against a soft dollar on Monday, while stocks barring Brazil's Bovespa rose, on a day when global equities were buoyed on optimism over the resumption of U.S.-China trade talks. The dollar weakened, pressured by expectations the U.S. Federal Reserve will either pause or halt its interest rate hike cycle, propping up developing world currencies. While currencies such as the Mexican peso and the Argentine peso took some benefit from the greenback's fall, Brazil's real suffered heavy losses, declining for the first time in four sessions.
After the selloff in December, Chief Fixed Income Strategist Kathy Jones of Charles Schwab says investors are back with a "big appetite for risk" in sectors like emerging currencies. Yahoo Finance’s Alexis Christoforous speaks to her.