International Sector Performing Despite President's Border Talk
President Trump's plan for a Mexico border wall does not seem to be slowing over-the-border business.
Bloomberg reports emerging market stocks in Mexico are up 2.8 percent in January and, in Peru 8.5 percent. Those countries are where Phoenix-based Southern Copper Corporation primarily operates. Seventy-five percent of the company is owned by Mexican mining conglomerate Grupo Mexico.
On Tuesday, the company reported fourth-quarter earnings almost doubled year over year. Grupo Mexico said it plans to expand production by 1 million tons by mid next year.
So far this year, the materials sector, where Southern Copper sits, is outperforming all other sectors, including real estate, energy and health care.
Bloomberg Columnist Christopher Langner reported markets are performing despite Trump’s strong border talk.