Mexico’s Stock Market Sets Record, Then Fades
MEXICO CITY — Mexican stocks closed slightly lower in heavy trading Friday, after the Bolsa index topped the historic 1-million-point mark in the first 30 minutes of trading.
The 39-stock Bolsa closed the session off 3,393 points at 989,836. It had traded as high as 1,022,199 in the morning, a new record.
For the week, the index rose 63,270 points, or 6.8%--the 11th straight week of gains.
The Mexico City market has been one of the world’s best this year, fueled by expectations of strong economic growth for Mexico in the 1990s. There also is rising optimism about chances for a free-trade agreement among the United States, Mexico and Canada.
The Bolsa index is up 57% so far this year. It rose 50% last year.
In the United States, several investment funds that specialize in Mexican stocks have soared along with the Bolsa. The New York-based Mexico Fund, which trades on the New York Stock Exchange, closed at $19.25 a share on Friday, up 12.5 cents for the day. Its price has jumped 47% this year.
Other U.S.-traded Mexican stock funds include the Emerging Mexico Fund, at $14.625, down 12.5 cents Friday, and the Mexico Equity and Income Fund, at $11.50, up 25 cents. Both trade on the NYSE.
On Monday, the Mexico City exchange will move the Bolsa index’s decimal point three digits, so that Friday’s close would be 989.84 instead of 989,836.00. The move will put the index on the same scale as most world stock indexes.
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