The Brazilian stock market started the week in the positive territory and recorded the fourth consecutive high on Monday (16), affected by the appreciation of commodities, while the American markets closed between losses and gains.
The advance in iron ore prices came after China announced a real estate stimulus, which lowered mortgage rates amid extremely negative data in April. It also encourages the expectation of an economic recovery, with some easing of restrictions against Covid-19.
Meanwhile, oil prices rose after opening lower, with investor fears of a global recession driven by data from China and weak economic numbers worldwide offset by signs that the European Union is close to banning Russian oil imports.
For Felipe Mora, investment analyst at Finacap, the market also reflects the fifth consecutive decline in the ratio between Brazil’s public debt and GDP, which reached 78.5%. The expert recalls that in 2020, the height of the epidemic, the expectation was that the indicator would cross the mark of 100%, and in this way, the data helped reduce concerns about financial risks.
The Ibovespa index rose 1.22% to 108.232 points after swinging between 106,851 and 108,794 points. The financial volume amounted to 28.8 billion Brazilian riyals.
Melius shares (cash 3) and SLC (SLCE3(EZTC3) with a gain of 5.22%. Millius papers benefited from a lower interest rate scenario.
Among the main increases by weight, Petrobras common and preferred shares (PETR3;PETR4) rose 2.81% and 0.99%, respectively, following the advance of oil contracts, and shares of mining and steel-related companies rose following the price hike in iron ore negotiations.
LOCAWEB shares (LWSA3) and Embraer (EMBR3(The main negative points during the session were, declining, respectively, by 3.11% and 3.03%, followed by Hapvida shares)HAPV3), with a loss of 2.24%.
Hapvida shares drop ahead of Monday night’s earnings announcement.
The dollar finished the third trading session in a row in the red. The US currency fell 0.12% to 5,051 Brazilian riyals, after fluctuating between 5,031 Brazilian reais and 5,104 Brazilian reais.
In the AftermarketAt 5:07 p.m., future interest rates fall after the statements of the Director of Monetary Policy at the Central Bank, Bruno Serra, and the new decline in the dollar. At an event organized by Goldman Sachs, Serra said BC prefers to keep Selic as stable as possible.
DIF23, -0.85 p., 13.36%; DIF25, -1.46 p., 12.44%; DIF27, -1.69 p., 12.18%; DIF29, -1.85 pages, 12.23%.
On Wall Street, stocks closed mixed as the market struggled to recover from last week’s losses and investors weighed the possibility of a recession in the US.
The Dow Jones index increased 0.09% to 32.224 points. The S&P 500 fell 0.39% to 4,008 points, while the Nasdaq fell 1.20% to 11,662 points.
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