Argentina consumption drop and Mexico's modest Q1 growth highlight regional slowdown

Argentina’s private consumption has continued to fall, with the latest Private Consumption Index showing a 0.3% decline in May versus April and a 2.2% drop year‑on‑year. Over the first five months of 2026, consumption fell 1.8% overall, with notable decreases in food, dining out, clothing and credit use. Meat purchases were down 13% year‑on‑year, and restaurant sales fell 2.9%, while clothing sales dropped 16.3% in malls.

In Mexico, the first‑quarter 2026 Global Supply and Demand Index rose 0.3% from the previous quarter and 5.2% year‑on‑year, driven chiefly by a 0.8% increase in exports and a 1.6% rise in government consumption. However, private consumption and gross fixed capital formation fell 0.8% and 1.9% respectively, and imports surged 6.9%, offsetting growth. Gross domestic product contracted 0.6% quarter‑on‑quarter, with an annual increase of just 0.2%.