FX.co ★ Ibovespa Gains Ahead of US Tariff Decision

The Ibovespa index edged up by 0.3% towards 132,500 on Tuesday, driven by moderate gains among major corporations. Market focus remains on Brazil's trade negotiations with the United States, particularly in view of the looming August 1st deadline which may usher in potential 50% tariffs on Brazilian exports. Finance Minister Fernando Haddad disclosed that Vice President Geraldo Alckmin engaged in an extensive third call with U.S. Commerce Secretary Howard Lutnick, expressing Brazil's optimism in reaching a favorable agreement. Lutnick noted that President Trump is anticipated to make a decision concerning the trade dealings by August 1st. Concurrently, the International Monetary Fund has adjusted Brazil’s growth forecast higher for 2026, despite predicting a slight economic slowdown thereafter. Prominent firms such as Vale and Petrobras experienced gains of 0.6% and 0.2%, respectively. Similarly, major banking institutions Banco do Brasil rose by 0.2% and Itaú Unibanco by 0.3%. The performance among steelmakers was mixed, with CSN advancing by 0.4% while Gerdau decreased by 0.7%. A varied outcome was observed in the retail sector as well, with Americanas climbing by 3.1% and Magazine Luiza slipping by 1.1%.