Mexican Stock Market Drops Amid Global Risk Aversion and Disappointing US Jobs Report

Overview of the Mexican Stock Market Performance

The Mexican stock market experienced a downturn on this Friday, with local indices falling amidst global risk aversion triggered by US tariffs on numerous countries and following the release of a disappointing US labor report.

Key Stock Market Indices

• The S&P/BMV IPC, the leading index of the Mexican Stock Exchange (BMV), declined by 0.87% to 56,900.57 units.
• The FTSE BIVA, managed by the Institutional Securities Exchange (Biva), dropped 0.81% to 1,145.47 points.

Leading Decliners in the Mexican Stock Market

Within the reference index, most values are trading with losses. Cemex shares lead the declines, dropping 3.22% to 15.94 pesos, followed by Banregio at 3.08% to 142.39 pesos, and Genomma Lab at 2.84% to 21.20 pesos.

US Tariffs and Disappointing Jobs Report

President Donald Trump granted Mexico a 90-day extension to negotiate a long-term trade agreement but increased tariffs on several key partners, including Canada, Brazil, India, and Taiwan.

A US labor report further fueled market nervousness. Nonfarm payrolls added only 73,000 new jobs last month, falling well short of the expected 100,000. The unemployment rate rose to 4.2% from 4.1% the previous month.

Key Questions and Answers

• What is causing the decline in the Mexican stock market? The drop is due to global risk aversion triggered by US tariffs on multiple countries and a disappointing US labor report.
• Which companies are experiencing the most significant losses? Cemex, Banregio, and Genomma Lab are among the leading decliners in the Mexican stock market.
• What actions has President Trump taken regarding US tariffs? President Trump extended Mexico’s tariff deadline by 90 days for long-term trade negotiations but increased tariffs on key partners like Canada, Brazil, India, and Taiwan.
• What details were revealed in the disappointing US labor report? The report showed only 73,000 new jobs added last month, far below the expected 100,000. The unemployment rate increased to 4.2% from 4.1% the previous month.