Housing at a Crossroads

MEXICO - Report 27 May 2014 by Mauricio Gonzalez and Ernesto Cervera
Executive Summary Data on first quarter Gross Domestic Product (GDP) was the most significant item in a week chock full of major economic indicators. According to the report, the Mexican economy grew 1.8% above year earlier levels, a figure closely in line with our own estimate of 1.7%. The factor that most clearly contributed to growth was the rebound in industrial activity (+1.6% in the first quarter of 2014 as opposed to a 1.6% contraction during the same period of 2013), led higher by a manufacturing sector whose expansion came primarily in response to increased external demand, especia...

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