Mexican Economy Contracts and Reignites Recession Concerns (1)

Mexico’s economy contracted slightly in the third quarter, a sign that President Claudia Sheinbaum’s plans to stimulate growth despite simmering trade tensions with the US are falling short, reigniting concern of a recession this year.

Gross domestic product fell 0.3% in the quarter from the prior three months, just above the -0.4% median estimate of economists surveyed by Bloomberg, down from 0.6% growth in the previous quarter. From a year ago, GDP fell 0.2%, barely above the -0.3% median estimate, according to preliminary data from the national statistics institute.

The main drag on the economy was a 2.9% ...