UPDATE 2-Mexico gross fixed investment rises, aids recovery

(Adds quotes from analysts, byline)

By Jason Lange and Noe Torres

MEXICO CITY, Dec 10 (BestGrowthStock) – Mexican gross fixed
investment rose for the third straight month in September in a
fresh sign that Mexico’s recovery from recession is on track,
data from the national statistics agency showed on Friday.

The measure of spending on machinery, equipment and new
construction rose 1.22 percent from August.

“This looks good for future economic conditions,” brokerage
Ixe said in a report.

Mexico is still smarting from a deep recession and economic
output has yet to recover to its peak 2008 level. With growth
in manufacturing slowing and consumer spending muted, gross
domestic product growth will likely slow in 2011.

But factory exports are nonetheless sharply above year-ago
levels and the United States — Mexico’s top trading partner —
said on Friday that imports from Mexico rose to a record high
in October. [ID:nN10198692]

Now gross fixed investment appears to be giving the
recovery another leg to stand on, analysts said.

“We think (investment) is now trending positively and
should consolidate in 2011,” said Santander economist Rafael
Camarena.

The reading had increased 1.12 percent in August from the
previous month (MXGFIN=ECI: ).

The August reading was revised down from an originally
reported gain of 1.36 percent.

Gross fixed investment was up 6.75 percent from September
2009 (MXGFI=ECI: ). The agency revised upward the August reading
to a 5.0 percent gain from 4.8 percent.
(Additional reporting by Michael O’Boyle; Editing by James
Dalgleish)

UPDATE 2-Mexico gross fixed investment rises, aids recovery