AFR – Mexico’s central bank raised its benchmark rate 50 basis points to 4.75 per cent on Thursday, hoping to stem risks that a weak peso could fan inflation after a sell-off in the currency sparked by fears Donald Trump could win the White House.
Reuters – Mexican cement maker Cemex said on Thursday it had launched a tender offer for up to $500 million in outstanding 7.250 percent senior secured notes due in 2021. The early tender date was Oct. 14, 2016, with a second tender deadline set on Oct. 27, 2016.
Bloomberg – Traders are growing increasingly pessimistic about Mexico’s ability to stave off a credit-rating downgrade. It costs 0.23 percentage point more to insure Mexico’s bonds against nonpayment than debt from lower-rated Panama, based on trading in credit-default swaps. That’s the most in six years. Mexico is also more costly to protect against default than Peru, which shares the same A3 rating from Moody’s Investors Service, four levels above junk, and the BBB+ from S&P Global Ratings and Fitch Ratings.
Reuters – Mexico’s peso briefly strengthened on Wednesday after the U.S. Federal Reserve left interest rates unchanged but strongly signaled it could still tighten monetary policy by the end of this year as the labor market improves further. The peso strengthened 0.6 percent to 19.7 pesos per dollar on the announcement, but reversed gains soon after.
Reuters -Mexico’s peso and stocks slipped on Monday as investors showed caution ahead of policy meetings by the U.S. Federal Reserve and the Bank of Japan on Wednesday. A range of mixed economic figures and conflicting remarks by key Fed policymakers have kept investors guessing over the timing of the next U.S. rate hike.
Bloomberg – Mexico is evaluating ways to aid private equity investors and spur growth in the industry, including a reduction in the tax that funds pay to list companies on the stock exchange, according to four people with knowledge of the proposals.
Bloomberg – Mexico’s biggest department-store operator, El Puerto de Liverpool, became a dealmaker to jump start growth. Its second major purchase this summer is winning over investors who were startled by the first one.
Financial Times – Mexico sold nearly $3 billion of debt at record low rates, as emerging market portfolio managers seek to put billions of dollars that have flowed into the asset class to work.
Reuters – Mexico’s ICA said it expects to delist from the New York Stock Exchange (NYSE) after July 17, as the cash-strapped construction firm’s share price has tumbled on debt woes.
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.
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.
Bloomberg – About an hour’s drive south of Mexico City’s business district lives Breogan, a $350,000 computer that Alberto Alonso built to shake up the nation’s stock market. Alonso created the machine and the software it runs that automatically buys and sells shares when it spots an alluring trade, aiming to disrupt a market where business is still often done with a phone rather than a computer.
Bloomberg – Mexico sold its lowest-priced Samurai debt Thursday in a deal that brings yen-denominated issuance by foreign borrowers in the last month to more than 500 billion yen ($4.7 billion), the most in a four-week period since the Bank of Japan adopted its negative-rate policy this year.
Financial Times – Mexico has for the first time overtaken Brazil as the most popular destination for private equity in Latin America. The development is a sign of how the country’s nascent reformist mindset is leaving some of its more hidebound neighbours in the shade, as well as illustrating Brazil’s fall from grace in the wake of the commodity price bust and an all-encompassing corruption scandal.
Reuters -Mexico has begun marketing three and five-year samurai bonds at respective ranges of 0.40 percent to 0.50 percent and 0.70 percent to 0.80 percent. The transaction is expected to price as early as next Thursday.
The Street – The Mexican peso has appreciated over 9 percent against the U.S. dollar since the stock market’s mid-February turnaround. Jeremy Cook, chief economist at World First, said the stabilization of commodity prices will continue to bolster the Mexico currency.
Reuters – Mexico’s central bank said on Tuesday it would offer to repurchase government bonds in line with market demand in an auction on Wednesday. The finance ministry announced last month it would launch a debt buy-back using proceeds from some of the central bank’s gains made on its dollar reserves in 2015.
Sentido Comun – Shares of housing development companies, including some who lived through bitter moments three years ago for failing to meet financial obligations, recorded record highs in the Mexican stock market to the surprise of friends and strangers.
Market Watch – Brazil stock exchange and futures-market operator BM&F Bovespa said it acquired a 4.1 percent stake in its Mexican peer, Bolsa Mexicana de Valores, in a deal worth around 136 million reals ($37 million).
Reuters – Mexico will keep issuance levels for fixed-rate bonds of 3, 5, 10, 20 and 30-year maturities unchanged in the second quarter of 2016, the finance ministry said on Wednesday.