WRAPUP 1-Mexico factory output jumps; auto exports surge

* Mexico March industrial output up 7.6 pct year-on-year

* April auto exports up 56.7 percent year/year

MEXICO CITY, May 12 (BestGrowthStock) – Mexico’s industrial
production rose at a surprisingly fast pace in March and auto
exports surged in April in a sign that economic growth is
accelerating in Latin America’s second largest economy.

Industrial production, which accounts for 40 percent of the
economy, rose a greater-than-expected 7.6 percent in March from
a year earlier (MXIPY=ECI: ), the national statistics agency said
on Wednesday. Analysts had expected a 6.0 percent increase.

Output rose 0.85 percent from the previous month
(MXIP=ECI: ).

Mexico’s economy contracted 6.5 percent is 2009, its worst
decline since 1932, as exports to the recession-stricken United
States plummeted.

With U.S. demand picking up, so is Mexico’s economy, and
factories that make cars for export have been powering the
country’s recovery. The government expects the economy will
grow 4.1 percent is 2010.

Mexican car production rose 69.6 percent in April from a
year earlier, and exports were up 56.7 percent, the country’s
national auto association said on Wednesday.

However, investment has lagged. Gross fixed investment
(MXGFI=ECI: ), a measure of spending on machinery, equipment and
construction, fell 2.3 percent in February from a year
earlier.

Investment Analysis

(Reporting by Luis Rojas Mena, Patrick Rucker and Michael
O’Boyle, Editing by Chizu Nomiyama)

WRAPUP 1-Mexico factory output jumps; auto exports surge