UPDATE 2-Mexico holds rate steady despite higher inflation

(Reuters) - MEXICO CITY, July 27 - Mexico's central bank held
the key overnight interest rate steady at 7.25 percent on
Friday, but warned that it would boost rates if necessary just
days after reporting that inflation had nudged into its danger
zone.




The bank said it sees inflation, which has been stubbornly
trending higher, closing in on its long-term 3 percent target
by the end of 2008 even though food prices are still volatile.


Read more at Reuters.com Bonds News

Brazil's Bovespa Falls, Led by Petrobras, on Tax Bill; TV Azteca Declines

(Bloomberg) -- Brazil's main stock index slid the most
in six weeks, led by state-controlled oil company Petroleo
Brasileiro SA, as the company received a bill for $710 million in
unpaid taxes and oil prices dropped.

The Bovespa Index of the most-traded stocks on the Sao Paulo
exchange fell 800.03, or 1.4 percent, to 57,236.74 as of 1:20 p.m.
New York time. Petrobras accounted for more than a quarter of the
drop. Mexico's benchmark Bolsa index declined 295.91, or 0.9
percent, to 31,872.52.


Read more at Bloomberg Stocks News

Mexican stocks rise, driven by America Movil gains

(Reuters) - The benchmark IPC stock index moved up 0.52 percent
to 32,089 points, while the peso firmed 0.144
percent to 10.7635 per dollar.




Shares of America Movil , Mexico's dominant
cell-phone operator and the most heavily weighted company on
the IPC index, advanced 0.70 percent to 34.50 pesos, while its
New York-traded shares gained 1.26 percent to $64.17.


Read more at Reuters.com Bonds News

UPDATE 1-Mexico's GAP 2nd-qtr net profit rises 55 pct

(Reuters) - Revenue in the quarter rose 16.1 percent to 847 million
pesos, the company said on Monday.




GAP operates 12 airports in Mexico, including Guadalajara,
Tijuana, Los Cabos and Puerto Vallarta.


Read more at Reuters.com Market News

Humble roots no hurdle for Mexico's Cemex

(Reuters) - For Mexico's Cemex , which this week
became the world's biggest building materials company by
revenue, the success is more unlikely given its roots in a
developing country with limited access to funds for growth.




But since 1906, when its Hidalgo plant opened, Cemex has
defied skeptical investors and weathered Mexico's financial
crises to buy more than 20 companies in the past two decades.
The latest, Australia's Rinker for $15.3 billion
including debt, was the biggest takeover by a Mexican company.


Read more at Reuters.com Mergers News

Mexico's Bolsa Falls on Earnings Concern, Led by Cemex: Bancolombia Gains

(Bloomberg) -- Mexico's Bolsa index fell for a second
day on concern that second-quarter earnings reports will show
stocks are overvalued.

The Bolsa declined 248.71, or 0.8 percent, to 32,017.22 as of
1:01 p.m. New York time. Brazil's Bovespa index of most-traded
shares on the Sao Paulo exchange was little changed, rising 47.76,
or 0.1 percent, to 57,422.16.


Read more at Bloomberg Stocks News

Alfa, America Movil, Grupo Mexico, Sadia: Latin American Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Brazil and Mexico today. Symbols
are in parentheses after the company name, and stock prices are
from the last session.

In Brazil, preferred shares are the most commonly traded
class of stock.


Read more at Bloomberg Stocks News

Mexico stocks drop as telecoms fall, peso gains

(Reuters) - The benchmark IPC stock index fell 1.00 percent to
32,088.25 points, with dominant cell phone company America
Movil and fixed line giant Telmex
dragging hardest on the index.




Mexico's antitrust commission, known as the CFC, said last
week it has new powers to investigate market dominance in the
telecom sector. In 1997, it declared Telmex a dominant player
in Mexico. The telecom appealed and years later had the
designation overruled.


Read more at Reuters.com Bonds News

Chile Stocks Fall as Economy Slows, Led by Endesa; Vale Gains in Brazil

(Bloomberg) -- Chile's main stock index fell the most
in almost a month on concern that shares have risen faster than
warranted by the country's economic growth.

Chile's Ipsa index of 40 stocks fell a second day, shedding
36.08, or 1 percent, the most since June 7, to 3455.38. Brazil's
Bovespa index rose 0.4 percent, while Mexico's Bolsa index was
little changed.


Read more at Bloomberg Stocks News

Cemig, Grupo Imsa, Petrobras, Positivo, TV Azteca: Latin Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Brazil and Mexico today. Symbols are
in parentheses after the company name, and stock prices are from
the last session.

In Brazil, preferred shares are the most commonly traded class
of stock. Markets in Chile are closed today for a holiday.


Read more at Bloomberg Stocks News

BBVA to Hire 240 Bankers This Year to Boost Derivatives Business Worldwide

(Bloomberg) -- Banco Bilbao Vizcaya Argentaria SA,
Spain's second-largest bank, is hiring 240 bankers worldwide
this year to boost its derivatives business.

BBVA recruited 151 of the bankers since January, including
Lorenzo Isla, Barclays Capital's former head of structured
credit research in London, who will run credit derivatives in
Madrid. The Bilbao, Spain-based lender will add about 100 of the
new derivatives staff in Madrid and 115 in offices including
London, Frankfurt and Mexico City, said Ricardo Laiseca, head of
global markets. A team of 25 will start an equity derivatives
business in Hong Kong.


Read more at Bloomberg Bonds News

Mexico May Be Closing In on Higher Debt Rating, S&P Director Mukherji Says

(Bloomberg) -- Mexico's chances of a credit rating
increase are improving as President Felipe Calderon moves toward
garnering congressional approval for legislation that would boost
tax collection, said Joydeep Mukherji, a sovereign ratings
director at Standard and Poor's.

The government last week sent legislators a proposal to
boost annual tax revenue by the equivalent of 3 percent of gross
domestic product in an effort to ease Mexico's dependence on oil
export income and keep the budget deficit in check.


Read more at Bloomberg Bonds News

Mexico stocks flat, peso off as cenbank holds rate

(Reuters) - Mexico's central bank warned that it was still concerned about
medium-term inflation expectations being above target.




Gains in market leader America Movil , whose stock
rose 0.79 percent to 34.60 pesos, were countered by a decline in
Wal-Mart de Mexico , down 1.37 percent at 42.40
pesos.


Read more at Reuters.com Bonds News

UPDATE 1-Sonic 3rd-quarter net profit falls

(Reuters) - Third-quarter net income was $20.6 million, compared with
$23.8 million a year earlier. On a per-share basis, earnings
rose to 31 cents from 27 cents as Sonic had lesser number of
outstanding shares for the quarter ended May 31, 2007.




Sonic, which operates more than 3,200 drive-ins in the
United States and Mexico, said revenue rose 13 percent to
$209.9 million.


Read more at Reuters.com Market News

Mexican Congress to Consider Calderon's Proposal to Boost Tax Collections

(Bloomberg) -- Mexico's Congress will begin
consideration today of tax legislation proposed by President
Felipe Calderon to boost revenue collection and reduce the
government's dependence on oil.

The legislation, released last night in Mexico City and
scheduled for a first hearing today by a committee that meets
when Congress is adjourned, calls for a flat tax and limits on
tax deductions. It also proposes a 2 percent levy on cash
deposits of more than 20,000 pesos monthly ($1,863) to fight
evasion by small businesses and individuals.


Read more at Bloomberg Emerging Markets News

Mexico Bolsa Advances on Tax Plan, Led by America Movil: Chile Ipsa Slips

(Bloomberg) -- Mexico's Bolsa index rose for a fourth
day on expectations that President Felipe Calderon has the support
to pass legislation that will boost tax collection and spur
government spending.

``The fact that there's growing consensus that a fiscal reform
is going to be submitted has investors optimistic,'' said analyst
Mauricio Brocado at Actinver SA in Mexico City, after El Economista
reported Calderon will propose a flat 15 percent tax rate and a 2
percent fee on cash deposits in a bill to be presented this week.


Read more at Bloomberg Stocks News

Brazilian Stocks Surge to Weekly Gain on Faster Rate Cuts; Petrobras Rises

(Bloomberg) -- Brazil's main stock index rose for a
third day, heading for the biggest weekly gain in three months, on
speculation that faster interest rate cuts by the central bank will
lead to increased company profits and spur investment in stocks.

The Bovespa Index of the most-traded stocks on the Sao Paulo
exchange rose gained 898.52, or 1.7 percent, to 54,638.61 as of
12:15 p.m. New York time, led by Petroleo Brasileiro SA. The weekly
gain of 4.4 percent was the steepest since March 23. Mexico's Bolsa
index rose 0.8 percent to 32,271.87, eclipsing a June 5 record and
heading for a 2.9 percent weekly gain.


Read more at Bloomberg Stocks News

Axtel, CCR, Cia. Vale do Rio Doce and Grupo Mexico: Latin Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Brazil and Mexico today. Symbols
are in parentheses after the company name, and stock prices are
from the last session.

In Brazil, preferred shares are the most commonly traded
class of stock.


Read more at Bloomberg Stocks News

Duratex, Localiza Rent a Car, Televisa: Latin American Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Brazil and Mexico today. Symbols
are in parentheses after the company name, and stock prices are
from the last session.

In Brazil, preferred shares are the most commonly traded
class of stock.


Read more at Bloomberg Stocks News

Datasul, Coca-Cola Femsa, Grupo Mexico, Marcopolo: Latin Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Brazil and Mexico today. Symbols
are in parentheses after the company name, and stock prices are
from the last session.

In Brazil, preferred shares are the most commonly traded
class of stock.


Read more at Bloomberg Stocks News