The Ibovespa slipped 0.2% on Tuesday to close at 166,334, reversing earlier gains and extending its losing streak to an eleventh consecutive session amid elevated global bond yields and persistent uncertainty over the Middle East conflict. Yields on government bonds around the world hovered near multi-decade highs, as fading expectations of a peace agreement between the US and Iran, combined with rising energy prices, reignited inflation concerns.
In the financial sector, major banks finished in the red: Itaú fell 0.5%, Bradesco declined 0.6%, and Banco do Brasil dropped 0.8%. Utilities also weakened, with Axia down 0.6% after having traded higher earlier in the day on the back of its share buyback results and a buy recommendation from Itaú BBA.
Steelmakers retreated despite firmer iron ore prices: Gerdau lost 2.3% and CSN slipped 0.7%, while Vale inched up 0.2%. Petrobras advanced 0.3%, supported by higher oil prices. On the positive side, WEG rose 1%, Embraer gained 0.8%, and Suzano climbed 1.4%, all outperforming the broader index.
