Reuters – Mexico’s central bank is expected to raise its key lending rate on Thursday after Britain’s decision to leave the European Union deepened a slump in the peso, analysts polled by Reuters said.
Financial Times – Mexico already has the draft of a trade agreement with the UK, which it drew up as part of a trio of measures designed to soften the blow of a Brexit, said Luis Videgaray, the finance minister.
Globe and Mail – Canada will lift visa restrictions for Mexican travelers effective Dec. 1, providing that President Enrique Pena Nieto offers assurances there won’t be a flood of people from Mexico claiming refugee status. Government insiders say the Trudeau government is prepared to reimpose the restrictions if the number of asylum seekers jumps above a set level.
Foreign Affairs – Public frustration with government is nothing new in Mexico, where corruption has long undermined the country’s development. According to the Mexican Institute for Competitiveness, a think tank, each year corruption costs the country between two and ten percent of its GDP, reduces investment by five percent, and eliminates 480,000 jobs from small- and medium-sized businesses. But recently, the Mexican government has begun to act on these issues.
La Jornada – In Mexico, more than 21 million children and adolescents between 0 and 17 years old, are living in poverty, says a UNICEF report. In addition, nine out of ten children who speak an indigenous language live in unfavorable economic conditions.
Informador – The price of Mexican crude exports fell 86 cents and was offered at $38.62 per barrel, compared with last Friday, with the increase in volatility and risk aversion generated by the outcome of the vote in the UK for Brexit.
The global indicator of economic activity collapsed during April to record its worst monthly performance in over seven years by a contraction in activities industrial and services, a sign of a possible cooling of the second largest economy in Latin America.
The indicator was its second straight setback, down 1.2 percent from March, after it fell 0.2 percent in the third month against the second, said National Institute of Statistics and geography (INEGI).
The decline is the worst April since January 2009 when the global indicator of economic activity fell 2.2 percent by the global financial and economic crisis that hit Mexico, and that gave rise to the period now known as the Great Recession.
“As a result, economic activity reached an annualized growth of zero in the period from February to April, well below the advance of 2.8 percent in the” first quarter of this year, wrote Alexander Cervantes, senior economist at the bank Banorte Ixe in a report.
The performance of economic activity in the fourth month of the year will likely cause the country’s economic growth suffer a slowdown in the April-June period.
FoxSports – Mexico have decided not to fire manager Juan Carlos Osorio. The Colombian will stay on as the El Tri boss, despite his team’s humiliating exit from Copa America Centenario.
Reuters – Mexico’s government will cut spending and the central bank is ready to act on interest rates in the wake of Britain’s vote to exit the European Union, senior officials said on Friday.
WSJ – Cross-border trade between the North American Free Trade Agreement nations has been slowing as ocean and pipeline shipments of crude oil have plummeted, but the trucking business is holding its ground. Total freight flows across the U.S. borders with Canada and Mexico reached $90.4 billion in value in April, down 3.2 percent compared with April of 2015.
InSight Crime – Mexico has for the first time released its own estimates for the amount of land dedicated to poppy cultivation. Mexico is now the world’s third largest producer of opium poppies.
AP – Mexico’s president has asked congress to convene a special session to re-work an anti-corruption law and remove clauses widely viewed as a revenge move by politicians.
Reuters – Drought-hit Zimbabwe will import more than 250,000 tons of maize from Mexico to fill the shortfall caused by the severe drought sweeping through the southern Africa.
LifeSiteNews – Mexico’s Supreme Court will soon be considering a verdict that would require all of Mexico’s 31 states to legalize abortion-on-demand during the earliest stages of pregnancy.
AP – The United States Embassy in Mexico has warned its citizens about travel to Oaxaca, a southern state convulsed by protests in recent weeks. The message was issued after eight people were killed in a weekend clash between protesters and police in Nochixtlan.
Reuters – Crude oil exports from Mexican state-owned oil company Pemex rose 11.4 percent in May compared to the prior month, while output was largely unchanged, the company said on Thursday.
Reuters – Mexico’s peso traded sharply weaker on Friday morning, briefly setting an all-time low after Britain voted to leave the European Union and sent shock waves through global markets.
Inside EVs – Audi plans to make an electric version of its Q5 midsize SUV at its new plant in Mexico. Audi is set to open a $1.3 billion factory in Mexico on Sept. 30, its first in the country.
Sentido Comun – AeroMexico Group announced the indefinite suspension of its flights between Mexico City and Caracas, the capital of Venezuela, due to the complex economic environment prevailing in that country.
By Christopher Sherman / AP
The small town of Nochixtlan in southern Mexico buried three of its own Tuesday, two days after a clash between police and protesters left eight dead.
Residents in the town in Oaxaca state accused police of opening fire during a confrontation involving protesters and striking radical teachers, killing several people including 19-year-old Jesus Cadena Sanchez.
Federal and state police had moved in to remove a highway roadblock on the outskirts of Nochixtlan on Sunday. By late morning shots rang out. Though who started shooting is disputed, journalists filmed police firing their weapons. Eight were killed and more than 100 injured.
The crowd at Cadena’s funeral was defiant. They blamed authorities and chanted that his death be avenged.
The first step forward could come Wednesday when the Mexican government and representatives of the dissident teachers’ union will hold talks.
The Interior Department said in a statement that the talks will seek to find solutions that allow for a return to peace in regions that have seen turbulent protests recently.