International Business

MEXICAN STOCKS

* Stocks were down 1.9% on Wednesday, hit by arbitrage as the peso firmed against the dollar and as investors continued to dump Mexican equities. The market was first taken higher by a successful central bank securities auction, then lower as the Mexican currency gained on the dollar. Markets cheered the fact that the central bank was able to sell the entire offering of cetes , or treasury bills, and that interest rates moved lower. The rate on the bellwether 28-day cetes fell 1.99 points to 37.01%.

* Markets are still nervous about the U.S. bailout proposal for Mexico. House Speaker Newt Gingrich said the package will be passed--but with a lot of work.

The Bolsa Index

Wednesday closes: 2,056.59

Sources: Dow Jones; Bloomberg Business News

SPOTLIGHT: MALAYSIA

The economy has enjoyed steady growth and moderate inflation during the 1990s. Exports of electronics, petroleum, textiles and other products are expected to nearly double in the next four years, contributing to a healthy trade surplus. Malaysia’s economic fortunes are tied to those of the Far East.

Sources: Bank of America, World Information Services