Mexico President Is Bane of Markets Stung by Populist Moves
- Local assets are underperforming peers amid investor angst
- Foreign investor confidence is key, but they remain nervous
Andres Manuel Lopez Obrador, Mexico's president
Photographer: Luis Antonio Rojas/BloombergThis article is for subscribers only.
One year after Mexican President Andres Manuel Lopez Obrador’s election, bruised-and-battered investors are seeing few reasons to be optimistic.
While the leftist leader hasn’t turned out to be the nightmare some had feared, local assets are underperforming and prospects aren’t looking up. Analysts have slashed 2019 growth forecasts to as low as 0.2%, state oil company Petroleos Mexicanos is on the verge of a downgrade to junk and there’s still no closure on the new U.S.-Mexico free trade agreement.