International Business
MEXICAN STOCKS
* Mexican stocks fell for a third day to their lowest level in a week, amid concern about the nation’s expected recession, a weakening peso and lower earnings.
* A weaker peso means higher raw-material costs for Mexican companies. Under Mexican accounting standards, a declining currency also means that companies must report higher foreign exchange losses. The peso closed Wednesday at 16.19 cents, a 1.5% decline.
* “There is still a strong possibility of political and social unrest in Mexico,” said Jose Manuel Garcia, an analyst at Barings Securities Inc. “And companies are still expecting horrible results.”
The Bolsa Index
Wednesday closes: 1,989.80
Source: Bloomberg Business News
SPOTLIGHT: EGYPT
Egypt’s $3-billion-a-year tourist industry--the country’s largest source of foreign currency--began to recover last summer. Participants in a November, 1994, Middle East and North Africa summit called for expanded economic development to anchor the Middle East peace process.
Sources: Bank of America; World Information Services
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