FX.co ★ Ibovespa Pushes Higher

On Wednesday, the Ibovespa surged by 1.5%, closing at 184,691 as investors assessed the stable interest rate decisions from both Brazil's Central Bank and the United States Federal Reserve. The decline in local government bond yields provided a boost to financial stocks, with Banco do Brasil climbing 2.9%, Santander rising 1.9%, Itaúsa advancing 1.3%, and Bradesco gaining 1.1%. The rally was further supported by gold and oil prices, which helped propel Vale by 2.4% following its report of producing 336.1 million tonnes of iron ore in the fourth quarter of 2025. Additionally, Petrobras saw an increase of 2.9%, while utilities such as Centrais Eletricas Brasileiras moved up by 3%. However, not all sectors participated in the upswing—Embraer declined by 3.50% despite a robust order backlog, while Ambev and Rede D'Or saw modest gains. The environment of lower yields combined with steady policy decisions favored cyclical, commodity-driven, and rate-sensitive stocks, contributing to the index's ongoing upward trend.