Mexican jobless rate falls marginally in May, economy expands 0.1 pct sequentially in April

The Mexican jobless rate on a seasonally adjusted basis tricked down a bit in May. The unemployment rate fell to 3.5 percent in May from April’s 3.6 percent, showed the national statistics agency. In its annual comparison, the jobless rate dropped on a seasonally adjusted basis, falling 3.5 percent as compared with the print of 4 percent seen in the same month of 2016. On a seasonally unadjusted basis, the unemployment rate rose a bit to 3.6 percent 3.5 percent recorded in the previous month, coming in line with consensus expectations.

The suboccupation rate came in at 6.9 percent on a sequential basis, whereas in its annual comparison, the rate was lower than the same month of last year. Meanwhile, the labor informality rate came in at 56.6 percent in May, higher than April’s 56.4 percent and lower in -0.9 points compared to the same month of last year.

Similarly, the occupation rate in the informal sector came in at 27.1 percent in May, higher than that of 26.3 percent in April and slightly lower than the same month in 2016.

Meanwhile, the Mexican economy rebounded a bit in April from March. The IGAE indicator showed that the Mexican economy expanded 0.1 percent in real terms in April from the prior month, stated the national statistics agency.

The data from the statistics show that the services sector recorded a growth in the month, expanding 0.5 percent. But this was countered by a drop in the Mexican industrial output and agricultural production that saw a fall of 0.3 percent and 0.9 percent, respectively.

On a year-on-year basis, the Mexican economy rose 2.8 percent in April, seasonally adjusted. The services sector recorded a year-on-year growth of 4.5 percent, while the agricultural production saw a rise of 0.2 percent. However, the industrial output fell 0.3 percent.

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest