The Mexican Stock Exchange reported its worst month since August since 1998the year in which he accumulated a monthly loss of 29.52 percentaffected by the expectations that the upward cycle of interest rates by the Central Banks will continue.
The index of the country’s main stock market, the S&P/BMV IPC ended the eighth month of the year with a contraction of 6.70 percent, as it went from 48 thousand 144.33 to 44 thousand 919.22 points, a decrease of 3 thousand 225.1 units.
Carlos Hermosillo, an independent analyst, explained that “the most important thing that has affected in the short term is the expectation that the monetary politics 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 said monetary strategy”.
within the companies listed on the Stock Exchange, the three that present the largest declines in the yield of its titles son, the media station Televisawith 21 percent less, the mining company Industrias Peñoles, with 19.26 percent, and those of the telecommunications service provider, Telesites, fall 15.93 percent.
By contrast, top-earning stocks are those of the concession operations company, Pinfra, with 6.98 percent, the OMA airport group increases 6.10 percent and Bachoco Industries, 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 cheapening too much. 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.