Daily Brief | June 9 2025

Top News

·     In Mexico, headline inflation accelerated to 4.42% in May, surpassing the Bank of Mexico’s target.

·     The U.S. and China are meeting in London in an effort to ease their trade dispute, which has recently escalated beyond tariffs to include restrictions on key goods for global supply chains.

·     China’s exports rose 4.8% year-over-year in May, while imports fell 3.4%. Despite the tariff truce, shipments from China to the U.S. plunged 34.4%, marking the steepest contraction since 2020.

·     Consumer prices in China fell for the fourth consecutive month in May, while producer price deflation deepened amid ongoing trade tensions and a prolonged crisis in the country’s real estate sector.

·     National Guard troops were deployed in Los Angeles on Sunday to contain a third day of protests against President Trump’s immigration policy—a move California Governor Gavin Newsom described as illegal. 

Economic Outlook

In Mexico, headline inflation accelerated to 4.42% in May, surpassing the Bank of Mexico’s 4.0% upper target. According to INEGI, the National Consumer Price Index rose 0.28% during the month, well above the market consensus of 0.24%. On an annual basis, inflation stood at 4.42% in May. The items with the greatest upward impact were chicken, tomatoes, and owner-occupied housing. In contrast, electricity had the most significant downward effect due to seasonal rate adjustments in 11 cities. Core inflation, which excludes volatile items such as energy, agricultural products, and government-set prices, increased 0.30% in May, also above the consensus estimate of 0.27%, bringing the annual core inflation rate to 4.06%. By components, goods rose 3.67% y/y and services 4.49% y/y. Meanwhile, non-core inflation reached 5.34% y/y. Overall, Mexico’s inflation accelerated in May and remained above the central bank’s upper target

Markets and Stocks

U.S. equity futures posted slight gains, continuing a two-week upward trend, with the S&P 500 closing above 6,000 on Friday for the first time since February. Investors are closely watching trade talks between the U.S. and China taking place today in London. In Europe, markets traded lower amid ongoing expectations surrounding the U.S.-China negotiations. In Asia, most markets closed higher.

In commodities, oil saw marginal gains after last week’s strong performance. Gold rose to $3,317 per ounce, supported by a weaker dollar.

In fixed income, U.S. Treasury yields saw slight moves. The 10-year yield stood at 4.51%, while the 2-year dipped to 4.02%, amid caution ahead of inflation data and U.S.-China trade talks.

In Mexico, the IPC futures rose 0.12%, while the peso traded around 19.08 per dollar, compared to 19.11 in the previous session.

Grupo Aeroportuario del Pacífico completed its regular review process of maximum tariffs and investment plans for its airports in Kingston and Montego Bay, Jamaica, covering the 2026–2030 period. In Kingston, passenger tariffs will increase gradually from $38.18 to $60.10, alongside a $85.2 million investment plan. In Montego Bay, tariffs will rise from $17.38 to $19.07, with total investments of $118.1 million. Both plans have been approved by Jamaican regulatory authorities under Gap’s Investment Development Program.

Arca Continental announced the signing of an agreement to acquire Imperial, LLC, a U.S.-based company operating vending and micro-market services. Imperial is a Canteen franchisee in multiple territories, including Oklahoma, Texas, and Arkansas. The transaction, subject to regulatory approval, is expected to close in the third quarter of 2025.

Corporate News

• Warner Bros. Discovery announced plans to split into two publicly traded companies next year: one focused on streaming services and film properties (including HBO Max), and the other dedicated to global networks such as CNN and TNT Sports.

• Telecommunications company EchoStar is reportedly considering filing for Chapter 11 bankruptcy due to pressure from the Federal Communications Commission, which is investigating the company’s compliance with its U.S. 5G service obligations.