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Thursday, January 10, 2013

Mexico: Growth decelerated into Q4

Mexico: Growth decelerated into Q4

Nader Nazmi - Market Economics
Latam Macro Snapshot | 10 Jan 2013 16:20 |

Mexico’s monthly GDP proxy (IGAE) expanded 0.2% m/m (sa), slightly weaker than our 0.3% m/m forecast. On an annual basis, growth accelerated from 1.2% y/y in September to 4.3% y/y in October.

Growth decelerated into Q4 and to weaken further. Domestic strength to help offset the impact of US weakness on growth. Indeed, gross fixed investment (GFI) grew 9.5% y/y in October.

A 0.7% m/m sa (19.3% y/y) rise in investment in equipment and machinery stands out.

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