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Mexico's benchmark stock index rose to a record high close on Friday, driven by gains in blue chips like Wal-Mart de Mexico and mobile telephone operator America Movil.
The IPC index added 0.94 percent to finish at 19,345.80 points, beating its previous record closing high of 19,216.75 points set on January 26. Dominant retailer Wal-Mart de Mexico, controlled by Wal-Mart Stores Inc, climbed 1.04 percent to 30.01 pesos.
Leading cellphone company America Movil, a staple in many Latin American stock portfolios, moved 1.93 percent higher to 18.98 pesos. Its New York-traded shares increased 0.77 percent to finish at $35.41. Mexican stocks were hit hard last week by rising US Treasury yields and expectations the US Federal Reserve could raise interest rates faster than previously expected.
US debt yields have fallen since then and Mexico's stock market has regained the ground it lost, giving the IPC index a rise of more than 8 percent so far this year.
House building company Ara rallied 4.63 percent on Friday to 48.18 pesos after it said it expects earnings before interest, tax, depreciation and amortisation to rise 22 percent this year because of growing demand for low-cost homes.
The peso currency weakened 0.57 percent to 10.70 per dollar as rising bond yields in the United States made Mexican debt a bit less attractive. The yield on Mexico's closely watched peso bond maturing in 2015 followed US markets, nudging up 3 basis points to 8.14 percent.

Copyright Reuters, 2006

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