Ibovespa Rises Ahead of BCB Policy Rate Decision
The Ibovespa rose about 1% to hover above 167,000 on Wednesday ahead of the BCB’s monetary policy decision. Copom is expected to decide whether to cut the Selic rate again or hold it at 13.75%. The latest Focus survey points to a possible reduction to 13.50%, although inflation concerns, a stronger US dollar and fiscal risks have added uncertainty. At its September meeting, Copom cut the rate from 14% to 13.75% but stressed the need to monitor risks before further easing. Financial stocks advanced, with Itaú up over 2%, Bradesco gaining nearly 2% and Santander rising more than 1%. Exporters also attracted attention as the Republican Party’s defeat in the US midterms opened a potential avenue for Brazil to negotiate tariffs imposed by the Trump administration. CSN gained 2.5% and Gerdau rose nearly 1%. Petrobras fell about 1% as oil prices declined.
The Ibovespa rose about 1% to hover above 167,000 on Wednesday ahead of the BCB’s monetary policy decision. Copom is expected to decide whether to cut the Selic rate again or hold it at 13.75%. The latest Focus survey points to a possible reduction to 13.50%, although inflation concerns, a stronger US dollar and fiscal risks have added uncertainty. At its September meeting, Copom cut the rate from 14% to 13.75% but stressed the need to monitor risks before further easing.
Financial stocks advanced, with Itaú up over 2%, Bradesco gaining nearly 2% and Santander rising more than 1%. Exporters also attracted attention as the Republican Party’s defeat in the US midterms opened a potential avenue for Brazil to negotiate tariffs imposed by the Trump administration. CSN gained 2.5% and Gerdau rose nearly 1%. Petrobras fell about 1% as oil prices declined.