The current rate of economic expansion in Mexico is likely to continue through the end of this year, despite a sharp decline in Mexico’s leading economic index in July, according to The Conference Board.

The Conference Board’s leading economic index for Mexico fell sharply in July for the third consecutive month. However, its six-month rate of decline has not intensified in recent months, suggesting that the current rate of economic expansion in Mexico is likely to continue through the end of this year. The six-month change in the LEI remains negative, but the rate of decline seems to have stabilized. Meanwhile, the six-month growth rate of the coincident economic index remains relatively steady at 1.4%.

The leading economic index for Mexico fell 1.6% to 99.5 (2010=100) in July. The leading index fell 0.7% in June and 0.9% in May, based on revised data. During the six-month span through July, the index fell 1.9%.

The Conference Board’s coincident economic index for Mexico, a measure of current economic activity, rose 0.3% in July and now stands at 116.3 (2010=100). The coincident economic index rose 0.3% in June and remained unchanged in May. Two of the three components that comprise The Conference Board’s coincident economic index for Mexico — the number of people employed and retail sales — rose in July, while industrial production remained unchanged.