Mexico’s benchmark equity index, the S&P/BMV IPC, closed 0.66% lower on Tuesday, as investors pared positions following a mixed session in global markets.
The decline came amid heightened volatility in U.S. Treasury yields and a stronger U.S. dollar, which weighed on emerging market assets. The index, which tracks the performance of 35 of Mexico’s largest listed companies, has retreated from recent highs as concerns over growth and monetary policy persist.
Among the most notable laggards were shares of América Móvil and Walmart de México, both of which underperformed the broader market. The telecom giant fell 1.8%, while the retail group declined 1.5%, contributing to the index’s downward drift.
Analysts attributed the weakness to profit-taking after a strong start to the year, as well as renewed caution ahead of key U.S. economic data releases scheduled for later in the week. The Federal Reserve’s policy outlook remains a central focus for investors, with expectations of prolonged higher interest rates continuing to cast a shadow over risk assets.
The S&P/BMV IPC’s 0.66% drop follows a 0.42% gain in the prior session, underscoring the choppy nature of recent trading in Mexican equities. Broader Latin American markets also faced headwinds, with Brazil’s Bovespa and Chile’s IPSA ending marginally lower.
Volume on the Mexican exchange was moderate, with turnover totaling 1.2 billion pesos, below the 30-day average of 1.5 billion. No single sector led the decline, though financials and consumer staples were among the most affected groups.
The index is now down 2.1% over the past month, erasing some of the gains recorded in the first quarter of the year. Investors remain divided on the outlook for Mexican equities, with some citing attractive valuations while others warn of potential downside risks from global economic headwinds.
