The Ibovespa fell more than 1% on Thursday, slipping below 185,500 points, as surging oil prices and a global equity sell-off followed US President Trump’s remarks that dashed hopes for a swift resolution in the Middle East. In a prime-time address, Trump warned that the US would strike Iran “extremely hard” in the coming weeks, unsettling markets and reviving concerns about stagflation.
Bond yields rose as investors began to price in a more hawkish stance from major central banks, pressuring banking shares amid worries about weaker credit demand. Major lenders logged sharp losses, with Itaú and Bradesco each dropping more than 2%. Utilities also retreated between 2.5% and 3%, including Axia, which fell 2.4%.
Other notable decliners included Rede D’Or, down 2.4%, WEG, down 2%, and Vale, which lost 1% under additional pressure from lower iron ore prices. Bucking the broader downtrend, Petrobras advanced nearly 3%, supported by the jump in oil prices.
