Feb. 19 (Bloomberg) -- Mexico's economic growth unexpectedly accelerated in the fourth quarter, led by the transportation and communications industries.
Gross domestic product, the broadest measure of a country's output of goods and services, expanded 3.8 percent from a year earlier, the finance ministry said today.
The growth defied the predictions of most economists, who expected Mexico would be hurt by slowing demand from the U.S., its biggest trading partner. The government succeeded in its plan to boost domestic demand to compensate for a slump in exports, said Alfredo Coutino, senior economist for Latin America at Moody's Economy in West Chester, Pennsylvania. He predicts growth will continue to accelerate.
``This is going to be the first time in many years in which Mexico is going to move in the opposite direction as the U.S. business cycle,'' Coutino said in an interview.
This story is significant because the economy was expected to decrease and it surprisingly increased. The U.S. business cycle moved in the opposite direction which is very surprising.
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