FX.co ★ Ibovespa Slides Despite Mideast Ceasefire Prospects

The Ibovespa slipped 0.46% on Thursday, closing at 196,819.00 and retreating from recent highs, despite an additional boost after President Trump announced a 10-day ceasefire between Israel and Lebanon. Optimism surrounding the reopening of the Strait of Hormuz helped market sentiment, but not enough to keep the index in positive territory. Oil prices climbed amid supply uncertainties, providing a strong 4.39% gain for Petrobras; however, this was outweighed by broader market weakness. Vale fell 1.06%, and Ambev dropped 2.59% after being downgraded to “Sell” by UBS, while WEG led the declines with a 3.26% loss. Major banks also underperformed, with Itaúsa and Banco do Brasil down 1.53% and 0.86%, respectively. On the macroeconomic front, the IBC-Br rose 0.6% in February compared with the previous month, beating expectations thanks to a 1.2% increase in industrial output, though the index still shows a 1.3% contraction on an annual basis.