FX.co ★ Ibovespa Gains as CPI Eases

The Ibovespa index experienced a modest increase of nearly 0.4% on Tuesday, surpassing the 136,000 mark, as investors evaluated the latest inflation data. The Consumer Price Index (CPI) for May showed a rise of 0.26%, a decrease from April's 0.43%, which alleviated some concerns regarding inflationary pressures and suggested that the central bank might maintain current interest rates in the upcoming week. Despite this, there remains uncertainty surrounding the potential increase in the financial transaction tax. President Lula, alongside Finance Minister Haddad, is set to explore alternative options. Haddad mentioned reaching an agreement with congressional leaders to "recalibrate" the decree that elevated this tax, though a lack of detail in various proposals has led to investor caution. In corporate news, Petrobras, Vale, Gol, and Gerdau saw increases of 0.74%, 0.11%, 1.23%, and 5.66%, respectively, at market opening. In contrast, Revee and Estrela experienced significant declines, with losses of 11.25% and 9.76%, respectively.