Ibovespa Edges Lower as Election Uncertainty Weighs
The Ibovespa edged lower, hovering near 205,500 on Thursday amid speculation over the presidential race and corporate earnings. On Wednesday, a Quaest poll showed Flávio Bolsonaro’s lead over Lula narrowing to one percentage point, leaving the candidates statistically tied just four days before Sunday’s presidential runoff. Many market participants believe a Flávio administration would be more likely to rein in public spending, although neither the candidate nor his economic advisers have outlined concrete fiscal adjustments. Datafolha is scheduled to release a new presidential voting-intention poll after the market close today. Financial stocks fell, with Itaú down 0.8%, and Bradesco shedding 1% ahead of its earnings due later today. Vale dropped 2% amid falling iron ore prices, with the miner set to report results next week. WEG slipped 0.1% after plunging 7% yesterday on disappointing results. Petrobras (+1%) helped limit losses in the index, supported by a resume in the oil rally.
The Ibovespa edged lower, hovering near 205,500 on Thursday amid speculation over the presidential race and corporate earnings. On Wednesday, a Quaest poll showed Flávio Bolsonaro’s lead over Lula narrowing to one percentage point, leaving the candidates statistically tied just four days before Sunday’s presidential runoff. Many market participants believe a Flávio administration would be more likely to rein in public spending, although neither the candidate nor his economic advisers have outlined concrete fiscal adjustments. Datafolha is scheduled to release a new presidential voting-intention poll after the market close today.
Financial stocks fell, with Itaú down 0.8%, and Bradesco shedding 1% ahead of its earnings due later today. Vale dropped 2% amid falling iron ore prices, with the miner set to report results next week. WEG slipped 0.1% after plunging 7% yesterday on disappointing results. Petrobras (+1%) helped limit losses in the index, supported by a resume in the oil rally.