--IPC trading flat; peso firms versus dollar to MXN13.9690
--U.S. retail sales fall in May; Europe debt yields rising
--America Movil and Grupo Mexico shares losing ground
By Laurence Iliff
MEXICO CITY--Mexican stocks and the peso were mixed in early
trading Wednesday as U.S. retail sales fell for the second-straight
month in May and debt auctions in Spain and Italy produced yields
near recent highs.
The IPC index of the 35 leading shares was trading near flat at
37268 points on volume 25.2 million shares valued at 516 million
pesos ($37 million). The peso was gaining ground against the U.S.
dollar, which was quoted in Mexico City at MXN13.9690 versus
MXN13.9830 at Tuesday's close, according to Infosel.
The L shares of Latin America's biggest wireless provider by
subscribers America Movil SAB (AMX, AMX.MX) were falling 0.4%, to
MXN16.85, and the B shares of copper miner and railways operator
Grupo Mexico SAB (GMEXICO.MX) were off by 0.5%, to MXN34.96.
The CPO shares of Mexico's top broadcaster Grupo Televisa SAB
(TV, TLEVISA.MX) were gaining 0.7%, to MXN54.60, and the UBD shares
of Coca-Cola bottler and convenience-store operator Fomento
Economico Mexicano SAB (FEMSA.MX) were higher by 0.3%, to
MXN111.30.
Vector brokerage in a research note said that it sees a mild
recovery in stocks, with the IPC heading toward the 37500 level,
but that, generally, caution prevailed among traders.
Banorte-Ixe said it saw the dollar trading in the range of
MXN13.90-14.05 with little direction and continued volatility
during the week up to the Greek elections over the weekend, which
is keeping investors on the defensive.
In the U.S., retail sales in May fell by 0.2%, which was less
than expected, but the April figure was revised downward, also to
negative 0.2%, and the back-to-back declines caused some concerns
about the recovery.
In the euro zone, factory output fell sharply in April, and bond
investors continued to pressure yields on European debt amid a debt
and banking crisis in Spain.
Write to Laurence Iliff at laurence.iliff@dowjones.com.