FX.co ★ Brazil Stocks Slide Ahead of US Trade Hearing

The Ibovespa fell 0.9% on Monday, closing at 172,447, as investors awaited a public hearing in Washington on the US trade investigation into Brazil, which could result in additional tariffs on Brazilian exports. The hearing will examine a proposed 25% tariff after the USTR cited what it called “unreasonable” trade practices. Exporters led the decline, with Vale down 1.3%, Petrobras off 1.3%, and Minerva slipping 0.8%. Petrobras also came under pressure from weaker oil prices after OPEC+ agreed to raise output targets from August and shipping through the Strait of Hormuz continued to normalize. Elsewhere, Ambev dropped 2.5% amid concerns that its third-quarter Latin American sales could fall short of expectations following the elimination of Brazil and Mexico from the FIFA World Cup.