Mexico consumer confidence rises in October

Mexico’s consumer confidence index rose to 103.3 in October from 101.3 in September, the government said on Thursday, despite concerns about the impact on economic growth from two devastating hurricanes. Consumer confidence had risen slightly in September after a decline the month earlier. Mexico’s central bank said on Monday that the economy grew at a faster-than-expected clip of about 3.5 per cent in the third quarter, but cut its full-year growth estimate to between 2.75 per cent and 3.25 per cent.

The bank said the expansion was not strong enough to make up for earlier weakness in Mexico’s economy, which has been held back by lower US demand for vehicles manufactured in Mexico. President Vicente Fox also said on Wednesday that Hurricanes Stan and Wilma, which lashed the agricultural and tourism industries in the country’s southeastern states last month, caused damages worth over $2.8bn. Some Mexican companies, including Cemex, are seen benefiting from the reconstruction drive already under way.