The Day at a Glance | November 21 2023

*The INEGI published its Timely Indicator of Economic Activity (IOAE), which forecasts that the Global Indicator of Economic Activity (IGAE) recorded 2.9% y/y growth in October.

*On Tuesday, the leader of Hamas said that the Palestinian militant group was close to reaching a ceasefire agreement with Israel.

*Today at 1:00 pm, the Federal Reserve will release its most recent meeting minutes (Nov 1st).

*The increase in US debt is fueling calls for the creation of a fiscal commission in Congress.

*Argentine markets are preparing to reopen after Javier Milei´s electoral victory. 

Economic environment

The National Institute of Statistics and Geography (INEGI) announced that the Timely Indicator of Economic Activity (IOAE for its acronym in Spanish) forecasts that the Monthly Indicator of Economic Activity (IGAE) grew by 2.9% y/y in October and 3.0% y/y in September, and pointed to a slowdown in the economy. These figures were mainly caused by a 4.1% expected increase in secondary activities in October, and a 4.5% hike in September, along with a 2.2% increase in tertiary activities for both September and October. On a monthly basis, the IOAE forecasts that the IGAE will have decreased by -0.1% with declines in the services and industrial sectors (-0.1% each). With this, if the IOAE´s forecasts are correct, Mexico´s economy would have grown by 3.4% in the January – October period, compared to the same period of 2022.