Dallas, Texas 12/13/2013 (FINANCIALSTRENDS) – Cemex SAB de CV (ADR) (NYSE:CX) is a 413.39 billion market capped cement manufacturer based out of Mexico. In the past few weeks the sock has been riding a bull rally thanks to which it has seen its market valuation go up by 11 percent in the past one month. This reverses the close to 1.2 percent depreciation that the stock has seen over the past three months.
This rally in the stock of Cemex SAB de CV (ADR) (NYSE:CX) has been witnessed in the backdrop of major reforms that the Mexian government had announced in the countries energy sector last month. On the back of strong reiteration by the government that it will stay the course on reforms the Mexico IPC Index posted impressive gains of 3.5% which is the biggest jump the index has seen over the trailing 12 months. The Mexican industry along with the rating agencies have taken note of the renewed impetus to business that the administrators are showcasing. J.P Morgan has been one of the first rating firms to upgrade the prospect of Mexico to overweight in 2014.
With Cemex SAB de CV (ADR) (NYSE:CX) being the country’s premier cement manufacturer, is expected to benefit tremendously from the industrial spurt that is expected to happen post the energy sector opening up to private players and releasing it from the monopoly of few state run oil companies.
Thanks to these external factors improving dramatically the stock of Cemex SAB de CV (ADR) (NYSE:CX) has been getting a move on at the browsers. As of yesterday’s trading price of $11.45 was well above its 200 day moving average of $11.20. This indicates that investors too are backing the cement maker to benefit from the improvement in the business sentiments surrounding the stock.