The Day at a Glance | December 6 2023

*The ADP employment report in the United States indicated the creation of 103,000 jobs, with wages decelerating.

*Retail sales in the Eurozone fell 0.3% month-to-month, better than estimates, affected by the decline in fuel sales.

*Consumer confidence in Mexico improved by 1.1 points to 47.3 points.

*Top CEOs of American banks will testify before the Senate in the United States to mitigate regulatory changes, mainly increases in capital requirements.

Economic environment

INEGI published the consumer confidence index, showing an improvement of 1.1 points to 47.3 points. Within the index, all five components saw monthly increases. Year-over-year, in November, consumer confidence advanced 5.2 points. The most significant increases were seen in the category “current possibilities of household members, compared to a year ago, to purchase furniture, television, washing machine, other household appliances, etc.,” and “economic situation of the country expected within 12 months, compared to the current situation” with increases of 1.6 and 1.5 points respectively. Both indicate improved economic positions of families and a greater willingness to spend. This indicator shows that the economy in November has momentum, and although it is a perception-based indicator, it has not deteriorated and continues to advance, reaching a high since 2018.

Formal employment in Mexico recorded the creation of 106,578 new positions, so formal employment grew by 5.2% during November. The IMSS reported that so far this year, 1.03 million jobs have been created, 73.4% of them permanent. The economic sectors with the highest annual percentage growth in job positions are construction at 8.8%, transportation and communications at 6%, and trade at 4%.