The Day at a Glance | March 2 2023

• Remittances in January set at 4,406 million dollars. 

• Manufacturing indicators in Mexico showed improvement in February. 

• In the US, the manufacturing ISM slightly increased to 47.7 points (+0.3) in February and set below the expected 48 level; remaining in contractionary territory for a fourth consecutive month. 

• The unemployment rate in Mexico increased to 3.0% in January; from the previously recorded 2.76% in December – a 17-year low. 

• The INEGI´s leading indicator for January increased 0.08 monthly points and remained below the long-term 99.8 point trend. For its part, December´s figure (100.9 points) set above the long-term trend after increasing 0.03 points with respect to November. 

• Vehicle sales in Mexico set at 101,911 in February (7.9% m/m and 28.0% y/y). 

• Inflation in the Eurozone surprised to the upside in February. It logged a 0.8% monthly increase (vs -0.2% prev.). With this, the annual reading set at 8.5%, above the expected 8.3% but below the previous 8.6%. 

Economic environment 

Remittances sent by fellow Mexicans living abroad set at 4.406 billion dollars in January, according to figures made known by the Central Bank of Mexico. This reading reflects a 17.69% decrease compared to the historical 5.353 billion dollars logged in December (the second highest record since the series began), but on an annual basis, it logged a 12.45% increase, slightly higher than the historical average for the first month of the year (11.53%). In addition, the average transaction increased to $374.5 from the previous $369.9 average in January of 2022. 

Manufacturing PMI´s logged improvements in February. The manufacturing index conducted by S&P stood at 51.0 points, returning to expansion territory after the 49.2 recorded in January. Meanwhile, the IMEF´s manufacturing indicator for the same period set above the 50-point threshold for a sixth consecutive month by logging a 51.3 point figure – up from the previously recorded 50.2 (in January). Additionally, the IMEF’s non-manufacturing index increased 0.7 points and set at 52.9. These indicators indicate continued strength in economic activity in the 1Q23.