12.05.202514:53:30UTC+00Ibovespa Hovers Flat on Monday

The Ibovespa index remained slightly above the flatline at the 136,700 mark on Monday, maintaining levels close to historic highs last recorded in August. This performance was bolstered by the easing of trade tensions, which led to exporters and commodity producers outperforming the broader market. Over the weekend, an agreement between the US and China was announced, involving a substantial 90-day reduction in tariffs following discussions in Switzerland. The US agreed to reduce tariffs on Chinese imports from 145% down to 30%, while China decided to lower tariffs on American imports from 125% to 10%. This development boosted investor confidence, indicating a serious commitment to reducing tensions and encouraging a shift back towards riskier investments. Petrobras saw its shares rise by approximately 4% in anticipation of its first-quarter results, supported by increasing energy prices. Similarly, Vale experienced a gain of more than 3%, driven by robust earnings prospects in the commodity sector amid expectations for improved global demand. Conversely, credit-sensitive stocks, especially major financial institutions, experienced declines as the market adjusted to the prospect of fewer anticipated interest rate cuts by the US Federal Reserve.