The Ibovespa inched higher on Tuesday, trading above the 181,000 level as investors weighed cautious optimism over a potential de-escalation in the Middle East against persistent geopolitical uncertainty and fresh regional military reports. Early gains extended Monday’s relief rally, sparked by comments suggesting a possible end to the conflict, but momentum faded after news of targeted strikes in southern Lebanon.
Domestically, blue-chip stocks were mixed. Petrobras retreated, tracking a sharp pullback in international oil prices, while Vale advanced modestly. At the same time, investors continued to assess the outlook for Brazil’s fiscal adjustment against still-elevated interest rate expectations, with attention turning to upcoming US employment data for further guidance on global monetary policy.
