Ibovespa Renews Record High

The Ibovespa rose 0.3% to 187,953 on Wednesday as optimism for a Middle East ceasefire fueled a global rally in risk assets. Market sentiment improved after President Donald Trump confirmed that Iran requested a ceasefire and suggested US military involvement could conclude within weeks provided the Strait of Hormuz is reopened. These developments pulled WTI crude futures down which weighed on energy heavyweights as Petrobras fell 4.4%. Lower future interest rates supported the financial sector with Banco do Brasil gaining 2.7% and Santander rising 2% while Bradesco advanced 1.6%. Meanwhile Vale edged up 0.6% and Embraer surged 4.6% to lead industrial gains. Domestically the Manufacturing PMI rose to 49.0 in March indicating the slowest contraction in nearly a year despite persistent input inflation.

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.