The Ibovespa slipped below 176,500 on Wednesday after the release of a new election poll and amid mounting tensions in the Middle East. A Genial/Quaest survey showed President Lula leading Flávio Bolsonaro by eight percentage points in a simulated second-round runoff.
Oil prices climbed as the deteriorating US–Iran standoff intensified worries about potential disruptions to global supply, with the resulting rise in energy costs rekindling inflation concerns.
Financial stocks traded lower, with Itaú, Bradesco, and Banco do Brasil all edging down. WEG fell more than 1.5% after Citi projected that the company’s revenue growth will remain under pressure due to a stronger Brazilian real and weaker domestic demand, while profit margins are expected to stay below recent historical averages. Ambev also declined around 1.5%, despite receiving a “buy” recommendation from BB Investimentos.
