Ibovespa Rises as Investors Eye Q3 Earnings

The Ibovespa edged up to trade above 188,000 on Wednesday as global markets rallied after US President Trump signaled an openness to end the war in the Middle East. The President called for Iran to stop attacking oil exporters, to which Tehran denied unless their conditions are met. Oil prices fell further, easing energy-driven stagflation fears. Lower bond yields reduced credit concerns and supported financial stocks: Bradesco gained nearly 2%, Itaú advanced about 1%, Banco do Brasil rose over 2%, and B3 surged nearly 8%. Meanwhile, Vale advanced over 1% on higher iron ore prices. Utilities also gained, with Axia and Sabesp each up about 1%. In contrast, Petrobras fell over 2% on lower oil quotes. In other news, Brazil's Manufacturing PMI edged up to 49.0 in March, marking the slowest contraction since May 2025.

The Ibovespa rose about 2% to trade near 186,000 on Tuesday as US President Trump told aides he was willing to end military operations in Iran. The Strait of Hormuz remains largely blocked due to the conflict. Its effective closure for weeks has fueled a sharp spike in global oil and gas prices and sparked worries over generalized inflation and recession worldwide. Bond yields fell, supporting major banks: Itaú and Bradesco both gained near 2%. The utilities sector also posted gains, with Axia and Sabesp advancing nearly 2%. Meanwhile, Brazil's industrial prices fell 4.5% on an annual basis. Major industries traded higher: Vale up 1.9%, WEG up 1.7%, and Ambev up 1.7%. Also, Petrobras gained near 1% as oil quotes rose, albeit at a slower pace than in recent sessions.

The Ibovespa rose 0.5% to close at 182,514 on Monday as a rebound in the global equity market and optimism regarding potential peace talks in the Middle East supported Brazilian assets. While the index retreated from intraday highs the session remained positive following comments from President Trump about serious discussions to end operations in Iran which briefly eased the intense geopolitical risk premium. This recovery was led by industrial and utility heavyweights as WEG jumped 3.6% following its investment in battery storage systems while Sabesp climbed 2.5% amid broader strength in the sanitation sector. Central bank director Gabriel Galipolo however maintained a cautious tone noting that the current oil shock continues to push inflation expectations higher and weigh on domestic activity. Despite these headwinds blue chips like Vale and Petrobras added roughly 0.7%.