The Point for Latin America

This report provides a weekly update on Latin American markets, highlighting concerns about Mexico's fragile economic recovery, inventory oversupply in Brazil's housing sector, and a shift in investor sentiment toward the region.

Key Takeaways

• 1.Mexico's economic activity shows a fragile recovery, with soft momentum in manufacturing and weak consumer confidence.
• 2.Brazil's mid/high-income homebuilding sector faces an inventory oversupply, leading to estimate downgrades for Cyrela and EZtec.
• 3.Argentine banks maintain a sector-wide Buy rating, supported by de-regulation and a shift in profitability toward credit spreads.

Table of Contents

• Top Call
• Mexico Economics Weekly - Activity rebound with caveats
• Brazil Homebuilding - Mid/High-Income Inventory Oversupply is Elephant in the Room
• Chile Pulp & Paper - CMPC & Copec: Ambitious Growth Plans Amid Uncertain Times
• Argentina Diversified Banks – Positioned for a credit comeback: Reiterate Buy (HR)
• Company
• Industry
• Strategy & Economics
• Global