UPDATE 1-Mexico April consumer confidence tops expectations

(Rewrites first paragraph; adds background)

MEXICO CITY, May 4 (BestGrowthStock) – Mexico’s consumer confidence
index (MXCONC=ECI: ) rose in April but remained well below
pre-recession levels, supporting the view that weak household
spending will hold back Mexico’s economic recovery.

Consumer confidence rose slightly more than expected, to
82.5 from 81.8 in March, the national statistics agency said on
Tuesday.

A surge in exports is helping Mexico rebound from a
recession that saw the economy shrink 6.5 percent in 2009. But
consumer spending has remained weak, which has dragged on
growth rates.

An underperforming economy is the main reason many analysts
do not expect the central bank to raise interest rates until at
least late this year.

Analysts had forecast the index would rise to 82.1. The
index was running above 100 in early 2008 before Mexico’s
recession began.

Stock Market Report

(Reporting by Patrick Rucker and Jason Lange; Editing by
Padraic Cassidy)

UPDATE 1-Mexico April consumer confidence tops expectations