Alberto, season's first named tropical storm, dumps rain on Texas and Mexico, which reports 3 deaths

TAMPICO, Mexico (AP) — Tropical Storm Alberto formed Wednesday in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. Authorities in Mexico reported three deaths from its rains.

Alberto, which is bringing strong winds, heavy rainfall and some flooding along the coasts of Texas and Mexico, is expected to make landfall in northern Mexico early Thursday.

“The heavy rainfall and the water, as usual, is the biggest story in tropical storms,” said Michael Brennan, director of the National Oceanic and Atmospheric Administration’s National Hurricane Center.

Civil protection authorities in the northern state of Nuevo Leon said one man died in the La Silla river in the city of Monterrey, the state capital. They also said that two minors died from electric shocks in the municipality of Allende. Local media reported that the minors were riding a bicycle in the rain.

Nuevo Leon Gov. Samuel García wrote on his account on social media platform X that metro and public transportation services would be suspended in Monterrey from Wednesday night until midday Thursday when Alberto had passed.

The National Hurricane Center said late Wednesday that Alberto was located about 135 miles (220 kilometers) east of Tampico, Mexico, and about 320 miles (510 kilometers) south-southeast of Brownsville, Texas, with maximum sustained winds of 50 mph (85 kph). The storm was moving west at 9 miles per hour.

The center of the storm was expected to reach the northeastern coast of Mexico south of the mouth of the Rio Grande by Thursday morning.

As much as 5 inches (13 centimeters) to 10 inches (25 centimeters) of rain was expected in some areas along the Texas coast, with even higher isolated totals possible, Brennan said. He said some higher locations in Mexico could see as much as 20 inches (50 centimeters) of rain, which could result in mudslides and flash flooding, especially in the states of Tamaulipas, Coahuila and Nuevo Leon.

The municipal government of Tampico, a port city in Tamaulipas state, announced Wednesday afternoon that authorities had activated a command center in coordination with the water, electricity and oil companies.

Many residents were excited about the prospect of heavy showers, as Tamaulipas and most of Mexico has been dealing with extreme droughts.

“We have been needing this water that we’re now getting, thank God. Let’s hope that we only get water,” said Blanca Coronel Moral, a resident of Tampico. “Our lagoon, which gives us drinking water, is completely dry.”

Tamaulipas Gov. Américo Villarreal said Wednesday on X that schools across the state will remain closed between Wednesday and Friday.

The coordinator of civil protection in Tamaulipas, Luis Gerardo Gonzalez, said they have 333 shelters distributed throughout the state at each municipality. “As the storm moves, we will be opening up more shelters.”

Authorities urged residents to be aware of the alerts the state and municipal civil protections are sharing. They anticipate the storm arriving overnight with communities closest to the coast most affected.

Tropical storm warnings were in effect from the Texas coast at San Luis Pass southward to the mouth of the Rio Grande and from the northeastern coast of Mexico south of the mouth of the Rio Grande to Tecolutla.

“Rapid weakening is expected once the center moves inland, and Alberto is likely to dissipate over Mexico” on Thursday, the center said.

The U.S. National Weather Service said the main hazard for southern coastal Texas is flooding from excess rain. On Wednesday, the NWS said, there is “a high probability” of flash flooding in southern coastal Texas. Tornadoes or waterspouts are possible.

NOAA predicts the hurricane season that began June 1 and runs through Nov. 30 is likely to be well above average, with between 17 and 25 named storms. The forecast calls for as many as 13 hurricanes and four major hurricanes.

An average Atlantic hurricane season produces 14 named storms, seven of them hurricanes and three major hurricanes.

Brennan said there will be dangerous rip currents from the storm and drivers should watch out for road closures and turn around if they see water covering roadways.

Areas along the Texas coast were seeing some road flooding and dangerous rip currents Wednesday, and waterspouts have been spotted offshore. “We’ve seen a few brief spin-ups and some waterspouts out there,” said Tyler Castillo, a meteorologist with the National Weather Service office in Corpus Christi.

Tim Cady, a meteorologist with the National Weather Service in Houston, said they’ll be keeping an eye on coastal flooding as high tide approaches Thursday morning.

“When we have these strong onshore winds combined with the high tide, that can result in coastal inundation, particularly in our lower-lying coastal areas,” Cady said.

A bird flies over a deserted pier in Miramar, in the southwestern Gulf of Mexico, Wednesday, June 19, 2024. Tropical Storm Alberto formed on Wednesday in the southwestern Gulf of Mexico, the first named storm of the hurricane season. (AP Photo/Fabian Melendez)

Palapas sit deserted on a beach in Miramar, in the southwestern Gulf of Mexico, Wednesday, June 19, 2024. Tropical Storm Alberto formed on Wednesday in the southwestern Gulf of Mexico, the first named storm of the hurricane season. (AP Photo/Fabian Melendez)

Tire tracks mark the sand on a deserted beach in Miramar, in the southwestern Gulf of Mexico, Wednesday, June 19, 2024. Tropical Storm Alberto formed on Wednesday in the southwestern Gulf of Mexico, the first named storm of the hurricane season. (AP Photo/Fabian Melendez)

A bird flies over a deserted pier in Miramar, in the southwestern Gulf of Mexico, Wednesday, June 19, 2024. Tropical Storm Alberto formed on Wednesday in the southwestern Gulf of Mexico, the first named storm of the hurricane season. (AP Photo/Fabian Melendez)

Megan Johnston drinks coffee as she sits on the seawall along Seawall Boulevard as rain falls on Wednesday, June 19, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Roy Quiroz looks back at his wife, Minda, as he crossed a flooded section of Kempner Street, Wednesday, June 19, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Richard Tumlinson watches waves crash along the seawall as he passes the 1900 storm memorial while rain rollsl in, Wednesday, June 18, 2024, in Galveston, Texas. The statue honors the more than 8,000 people killed in the hurricane called "The Great Storm" in 1900. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Waves crash over a jetty along Seawall Boulevard Wednesday, June 18, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Jeremy Reddout and his daughter, Elexus, enjoy the waves between Murdoch's and Pleasure Pier as rain falls, Wednesday, June 19, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Megan Johnston sits on the seawall along Seawall Boulevard as rain falls, Wednesday, June 18, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Galveston city worker Sean Kirby checks trash cans along Seawall Boulevard as rain falls,Wednesday, June 18, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Roy Quiroz and his wife, Minda, brace themselves with their umbrella as strong winds kick up as they cross a flooded section of The Strand near Kempner Street , Wednesday, June 19, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Galveston city worker Sean Kirby checks trash cans along Seawall Boulevard as rain falls Wednesday, June 18, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Roy Quiroz and his wife, Minda, cross a flooded section of The Strand near Kempner Street as rain falls Wednesday, June 19, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

Elexus Reddout and her father, Jeremy, enjoy the waves between Murdoch's and Pleasure Pier Wednesday, June 19, 2024, in Galveston, Texas. Tropical Storm Alberto has formed in the southwestern Gulf of Mexico, the first named storm of what is forecast to be a busy hurricane season. (Jason Fochtman/Houston Chronicle via AP)

BANGKOK (AP) — Shares fell Thursday in most Asian markets ahead of a key U.S. inflation report due Friday that might point the way ahead for interest rates.

Benchmarks fell more than 1% in Tokyo, Hong Kong and Sydney. Oil prices and U.S. futures also declined.

The markets' big focus this week is on a U.S. government inflation report due Friday. The personal consumption expenditures index, or PCE, is the Federal Reserve’s preferred measure of inflation, and analysts said investors were in a wait-and-see posture after recent mixed data.

The latest updates on inflation could influence the central bank’s decision on when to begin cutting interest rates, which remain at their highest level in more than 20 years and which are having an impact worldwide.

In Asian trading, another set of measures to boost the Chinese property market failed to lift market sentiment. Hong Kong's Hang Seng fell 1.9% to 17,746.53, while the Shanghai composite index was down 0.5%.

The latest move was by Beijing, one of China's biggest cities, when China's capital cut minimum down-payment ratios and mortgage interest rates, beginning Thursday.

Other Chinese cities have taken similar measures in line with national policies aimed at enticing buyers back into a market that has languished since the government cracked down on excessive borrowing by property developers, causing dozens of such companies to default on their debts. The downturn has dragged on the entire economy, the world's second largest.

In Tokyo, the Nikkei 225 index was down 1% at 39,286.97 amid concern over further weakness in the Japanese yen.

The U.S. dollar was trading at 160.43 yen early Thursday, having punched through the 160 level a day earlier. Japanese officials have warned they may intervene in the market to counter the trend, which has both positive and negative effects on the economy.

Elsewhere in Asia, Australia's S&P/ASX 200 fell 1% to 7,708.10, while shares also fell in Taiwan and India. Bangkok's SET fell, while shares rose in Jakarta and Singapore.

On Wednesday, a mostly subdued day of trading left benchmarks on Wall Street close to all-time highs they set last week.

The S&P 500 index rose 0.2% to 5,477.90 after drifting between small gains and losses most of the day. About 65% of the stocks in the benchmark index fell.

The Dow Jones Industrial Average finished less than 0.1% higher, at 39,127.80, while the Nasdaq composite rose 0.5% to 17,805.16.

Several big stocks helped offset the broader decline in the S&P 500.

Amazon.com rose 3.9%, surpassing $2 trillion in market value for the first time. Its rise comes just days after Nvidia hit $3 trillion, briefly becoming the most valuable company on Wall Street.

Chipotle eked out a 0.3% gain on the first day of trading after its 50-for-1 stock split. It was previously among the most expensive stocks in the S&P 500.

FedEx helped offset the losses with a gain of 15.5%. The package carrier reported results for its latest quarter that easily beat forecasts. Rivian soared 23.2% after Volkswagen said it would invest up to $5 billion in the struggling maker of electric vehicles.

Several big technology companies gained ground. Apple rose 2% and Microsoft gained 0.3%. Their large values tend to heavily influence the direction of the market.

Investors are hoping that the Federal Reserve will soon begin cutting interest rates but its effort to tame inflation back to its 2% target has been arduous. Wall Street is betting on a rate cut at the central bank's September meeting.

The economy has remained relatively strong, despite inflation and high borrowing costs for consumers and businesses. Economic growth has been slowing, though, and consumers are seemingly more stressed and shifting spending to necessities. Wall Street is hoping that Fed can time its rate cuts so that it relieves pressure on the economy before it slows too much, but doesn't also fall short of its goal of cooling inflation.

In other dealings, benchmark U.S. crude oil lost 21 cents to $80.69 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, shed 19 cents to $84.28 per barrel.

The euro rose to $1.0693 from $1.0681.

AP Business Writers Damian J. Troise and Stan Choe contributed.

The Fearless Girl statue stands in front of the New York Stock Exchange on Wednesday, June 26, 2024 in New York. Shares have advanced in Europe and Asia after a rebound for Nvidia offset weakness on Wall Street. (AP Photo/Peter Morgan)

The New York Stock Exchange is shown on Tuesday, June 25, 2024 in New York. World stocks are mixed after another slide for Wall Street heavyweight Nvidia kept U.S. indexes mixed Monday, even as the majority of stocks rallied. (AP Photo/Peter Morgan)

Currency traders work near the screen showing the Korea Composite Stock Price Index (KOSPI), top left, and the foreign exchange rate between U.S. dollar and South Korean won, top right, at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Wednesday, June 26, 2024. (AP Photo/Ahn Young-joon)

Currency traders watch monitors near the screen showing the Korea Composite Stock Price Index (KOSPI) at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Wednesday, June 26, 2024. (AP Photo/Ahn Young-joon)

A currency trader passes under the screen showing the Korea Composite Stock Price Index (KOSPI), top left, and the foreign exchange rate between U.S. dollar and South Korean won, top center, at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Wednesday, June 26, 2024. (AP Photo/Ahn Young-joon)