Grupo Modelo SA and poultry producer Industrias Bachoco SAB led gains this week among consumer staples companies as demand increased for stocks that are less vulnerable to the global economic slowdown.
The maker of Corona beer climbed 0.2 percent to 72.13 pesos today, extending its weekly gain to 5.9 percent, the biggest five-day advance since the period ended July 1. Bachoco, the Celaya, Mexico-based operator of poultry farms, rose 3.4 percent today and has gained 10 percent in the past five sessions. Coca-Cola bottlers Fomento Economico Mexicano SAB and Arca Continental SAB also posted gains on the week.
Labor Department data today showed employment in the U.S., the destination for about 80 percent of Mexico’s exports, unexpectedly stagnated in August as employers became less confident in the strength of the recovery. The jobless rate held at 9.1 percent. Stocks slumped globally and Treasuries rallied.
“Investors are looking for defensive stocks, and these are among the most defensive in the market,” said Karla Pena, a Mexico City-based analyst with Corp. Actinver SAB. “People won’t stop consuming these types of products.”
Mexico’s benchmark IPC index of 35 stocks fell for the second day, slipping 1.4 percent to 35,134.43. Thirty-one stocks fell while four gained.