Mexico’s gross domestic product expanded more than analysts forecast in the third quarter as manufacturing rebounded, supporting the central bank’s view that the economy can recover without additional interest-rate cuts.
Brazil’s soaring budget deficit is sparking a selloff in its two-week-old international bonds, pushing up the cost of insuring its debt by the most in the world and prompting Finance Minister Guido Mantega to explain that he doesn’t spend taxpayer money on caviar and shrimp meals.
Mexican retail sales unexpectedly fell in August from the year earlier, missing analysts’ estimates for the third time in four months and reinforcing calls for the central bank to cut interest rates this week.
Nicolas Maduro is counting on a wave of sympathy for late Venezuelan President Hugo Chavez to win election on April 14. Should he succeed, he’ll be on his own as he confronts accelerating inflation, shortages of consumer goods and weakening growth.
Brazil’s real is too strong and will remain misaligned for a period of time, Alberto Ramos, chief Latin America economist at Goldman Sachs Group Inc., said at the Bloomberg Latin America Investing Conference in New York.
Latin America is disappointing investors, economists and businesses with slower-than-forecast growth as waning commodity prices and strong currencies hit nations that failed to diversify and become more competitive.
Argentina’s nine-year economic expansion probably slowed in the second quarter as sales of manufactured goods to Brazil began to taper and domestic demand moderated in South America’s second-biggest economy.