Jul 29, 2009
Mexico stocks slip after U.S. consumer confidence
Jul 29, 2009
MEXICO CITY, July 28 (Reuters) - Mexican stocks slipped on Tuesday 28 July and the peso lost ground after news that U.S. consumer confidence fell more than expected in July, boding poorly for a recovery in Mexico's exports.
The IPC stock index .MXX fell 0.48 percent to 26,687, weighed down by losses in shares of top local retailer Wal-Mart de Mexico (WALMEXV.MX) and America Movil (AMXL.MX), Latin America's biggest wireless provider.
The peso MXN= MEX01 retreated from an early intraday high of 13.1950 per U.S. dollar to trade at 13.27, 0.02 percent firmer from Monday 27 July.
U.S. consumer confidence recorded its second consecutive monthly decline in July as sentiment remained hampered by a difficult job market, the Conference Board said on Tuesday 28 July.
The U.S. downturn has driven Mexico into a deep recession and hopes for a recovery depend on a rebound in consumer confidence in the United States, which buys more than 80 percent of Mexico's exports.
Offsetting losses, shares of FEMSA (FMX.N)(FMSAUBD.MX), one of the largest bottlers in Latin America, rose 1.06 percent to 47.50 pesos after it posted higher revenues and flat net earnings in the second quarter.
(Reporting by Michael O'Boyle; Editing by James Dalgleish)
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