International Business : Global Markets and Economic Update

MEXICAN STOCKS

* The market surged for a second straight session, with the Bolsa index rising 34.85 points to 2,738.92. After a brief bout of profit taking following the ruling party’s victory in the presidential election Aug. 21, the market may now be poised to challenge its old highs, some analysts say.

* Investors seem to have quickly shaken off the financial scandal that resulted in the government’s seizure of the nation’s fourth-largest bank Tuesday. But looking ahead a month or so, some traders worry that the supply of new stock could balloon as more Mexican companies step up to make share offerings. That could put downward pressure on existing stocks.

Source: Times wire services

SPOTLIGHT: JAMAICA

The conservative People’s National Party retained power in parliamentary elections last year, keeping in power a pro-business party that is devoted to pursuing a moderate, free-market economy. Growth is picking up this year after an economic crisis in 1990-92 stemming from a sweeping liberalization of the economy.

Sources: Bank of America; World Information Services