Ibovespa Slips as Energy Stocks Decline
The Ibovespa fell about 0.5% to below 184,000 on Friday as losses in the energy sector weighed on the index. Oil prices fell amid reports that the US and Iran were considering a deal that could reopen the Strait of Hormuz and lift the US blockade on Iranian ports. Petrobras fell more than 1%, while Prio shed nearly 2%. The pullback in oil offered some respite to credit-sensitive sectors that have been under pressure from energy-driven inflation concerns. Brazil's mid-month inflation data limited gains, coming in above forecasts. Financials edged higher. Utilities also rose, with Axia adding more than 1% after approving an additional capital allocation of up to R$4 billion, related to second-quarter results, for the redemption of Class C preferred shares. Magazine Luiza rose nearly 3% after S&P reaffirmed its brAA- rating. WEG was little changed despite announcing an expansion of its project for a new battery energy storage systems plant under construction in southern Brazil.
5% to below 184,000 on Friday as losses in the energy sector weighed on the index. Oil prices fell amid reports that the US and Iran were considering a deal that could reopen the Strait of Hormuz and lift the US blockade on Iranian ports. Petrobras fell more than 1%, while Prio shed nearly 2%. The pullback in oil offered some respite to credit-sensitive sectors that have been under pressure from energy-driven inflation concerns.
Brazil's mid-month inflation data limited gains, coming in above forecasts. Financials edged higher. Utilities also rose, with Axia adding more than 1% after approving an additional capital allocation of up to R$4 billion, related to second-quarter results, for the redemption of Class C preferred shares. Magazine Luiza rose nearly 3% after S&P reaffirmed its brAA- rating.
WEG was little changed despite announcing an expansion of its project for a new battery energy storage systems plant under construction in southern Brazil.