Mexico Stocks End Higher; Peso Slips vs U.S. Dollar

MEXICO CITY--Mexican stocks rose Monday in light summer trading, while the peso slipped a little against the U.S. dollar.

The IPC index of the leading 35 stocks gained 1% to 45,321 points on thin volume of 113.9 million shares valued at 3.82 billion pesos ($236.1 million).

The shares of Latin America's biggest wireless provider America Movil added 1.4% to MXN15.88, while the shares of Mexico's top retailer Wal-Mart de Mexico were higher by 1.7% to MXN40.90.

The dollar was quoted in Mexico City at MXN16.16, according to Infosel, compared to Friday's close of MXN16.1490. The peso had hit a record low at the end of July at MXN16.49 to the dollar before recovering after the Bank of Mexico increased its daily sales of dollars to bolster the Mexican currency.

Analysts expect the peso to be volatile until the U.S. Federal Reserve policy meeting in mid-September. If the Federal Reserve decides to increase interest rates at the meeting, the peso is expected to weaken against the dollar and likely set a new record low.

Write to Laurence Iliff at [e-mail]