International Business : Global Markets and Economic Update

MEXICAN STOCKS

* Another political assassination sent shock waves through the markets Wednesday. The Bolsa index tumbled 53.61 points, or 1.9%, to 2,764.82 on news that the ruling party's secretary general, Jose Francisco Ruiz Massieu, was shot to death in Mexico City. But the market pulled up from a low of 2,730. Traders said the government steadied stocks by buying through the state development bank.

* Ruiz's murder comes six months after ruling party presidential candidate Luis Donaldo Colosio was killed in Tijuana. Despite fears of more unrest, at least one U.S. brokerage--CS First Boston--advised clients to buy Mexican stocks Wednesday.

Source: Times wire services

SPOTLIGHT: BOLIVIA

Historically one of South America's poorest and most unstable countries, Bolivia has revamped its economy along free-market principles. After a painful austerity program, inflation is down from 24,000% in 1985 to less than 10%. The economy has been growing at about 3% for the past seven years.

Sources: Bank of America; World Information Services

Copyright © 2019, Los Angeles Times
EDITION: California | U.S. & World
65°