Feb 12 β€’ 16:53 UTC πŸ‡²πŸ‡½ Mexico Milenio (ES)

Mexican Stock Exchange maintains losses; Wall Street opens up and eyes US inflation

The Mexican Stock Exchange is experiencing losses while Wall Street opens higher amid attention on upcoming US inflation data.

The Mexican Stock Exchange (BMV) continued to record losses despite having reached new record levels earlier in the week, as investors focus on the quarterly earnings reports for major corporations from the last quarter of the previous year. The main stock index, S&P/BMV IPC, which includes the 35 most liquid companies in the Mexican market, saw a slight decrease of 0.0 percent, landing at 71,556.95 units. This reflects a cautious market environment as earnings reports begin to funnel in. Meanwhile, Wall Street opened with gains as traders await new inflation figures from the United States. Recent employment data for January has tempered expectations for interest rate cuts, leading to a positive market sentiment. In the early trades, the Dow Jones increased by 0.37 percent, the Nasdaq climbed by 0.33 percent, and the broader S&P 500 index rose by 0.35 percent. This upward trend highlights the interconnectedness of US economic data on market performance globally. The divergence between the Mexican market's losses and the positive opening of Wall Street can signify underlying economic tensions and investor sentiment differences. As investors closely watch the US inflation data, its implications could potentially influence market activity both in Mexico and the United States. An inflammatory report might affect expectations regarding future Federal Reserve actions, which could also reflect back on the performance of the BMV, especially given the close trade ties between the two economies.

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