FX.co ★ Ibovespa Sets Fresh Record High

On Tuesday, the Ibovespa index surged by more than 1.6%, reaching a new record high of 161,092. This rise was buoyed by heightened expectations of a Federal Reserve interest rate cut, which continued to support global stock markets, alongside an evaluation of local corporate developments. Investor sentiment regarding trade improved following recent indications of enhanced dialogue between Brazil and the United States, coupled with the mitigation of certain tariff risks. This environment bolstered exporters and companies in the agribusiness sector. Vale saw a 0.8% increase, driven by optimistic production guidance that positively impacted mineral revenue forecasts. Meanwhile, consistent growth in domestic oil production further strengthened the earnings prospects for energy producers. Major financial institutions, including Banco Do Brasil (up 1.4%), Santander (up 2.6%), Bradesco (up 0.9%), and Itaúsa (up 2.5%), also performed strongly.