29.01.202613:51:30UTC+00Ibovespa Advances as Central Bank Flags Easing Rates

The Ibovespa index experienced an uptick of over 0.5%, surpassing the 185,500 mark on Thursday, setting a new record. This came amid investor analysis of the central bank's recent monetary policy decision. Market participants absorbed indications that a rate-cutting cycle might commence in March, amidst a flurry of economic data and insights from Finance Minister Fernando Haddad during an interview. Post-Copom meeting sentiments pointed to generally lower rate expectations, contributing to gains in banking stocks, with Itaú appreciating by 1%, Bradesco by 0.4%, and Banco do Brasil by 1.4%.

Additionally, Petrobras saw a notable increase of more than 2% as oil prices rose over 3%, following US President Donald Trump's stern warning to Iran about the urgency of a nuclear non-proliferation agreement and a potential "massive armada" deployment. Furthermore, Vale recorded a gain exceeding 1% due to higher iron ore prices, while steel producers Gerdau and CSN grew by 0.5% and 0.6%, respectively. The utilities sector also saw advancements, with Eletrobras climbing 0.5%. WEG augmented its position with a 0.6% increase.