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MEXICO CITY, May 20 (Reuters) - Mexico's peso slipped on Wednesday after the Federal Reserve gave a more pessimistic view on the U.S. economy, tempering hopes for a quick recovery in the United States, Mexico's top trading partner.

The Fed cut its 2009 forecast for U.S. gross domestic product and revised its outlook for unemployment, undercutting the recent optimism that the economy might be turning the corner.

"The market didn't like the tone that economic weakness will continue," said Mario Copca, an analyst at Mexico City-based consultancy MetAnalisis.

The U.S. downturn has driven Mexico into its deepest recession since 1995, and a recovery in Mexico depends in large part on the U.S. economy bouncing back.

The peso MXN= MEX01 weakened 0.66 percent to 13.02 per dollar from the central bank's final 1:30 p.m. local time (1830 GMT) reference, when the currency had closed at at 12.934 per dollar, its strongest level in six months.

The IPC stock index .MXX also pared gains, but still closed up 0.23 percent at 24,399.60 points, its highest close in over seven months, supported by bets that the worst of the U.S. recession may have passed.

Data in Mexico showed that the economy shrank 8.2 percent in the first quarter as demand for the country's exports plummeted. For full story, see [ID:nN20530016]

Traders said a drop of that magnitude had already been priced in by the market, which was expecting a dismal report.