Mexico industrial output slumps by most in a year

Mexico's industrial production sank in April by the most in nearly a year, contracting for a third month in a row at a surprisingly fast pace, as factory and mining output foundered and building flagged. Mexican industrial output fell 0.7 percent in April from March, in seasonally adjusted terms, the national statistics agency said on Friday, worse than a 0.1 percent dip expected in a Reuters poll and the biggest month-on-month drop since May 2015.
Uneven demand for Mexican exports in the United States and declining oil production have weighed on Latin America's No 2 economy. Mexico sends mostly factory-made goods like TVs and cars to its northern neighbour and top trading partner. Among components of the data, factory output fell 0.7 percent in April, month-on-month, while mining, which includes oil output, sank 2 percent compared to March.
Construction dipped 0.1 percent, in a sign that domestic demand, which has helped offset slack in exports and oil output, could be weakening. Utilities grew 0.6 percent, month-on-month. Industrial production was 1.9 percent higher year-over-year, better than a 0.8 percent expansion seen in the Reuters poll.