22.09.202513:38:27UTC+00Ibovespa Drops on Fiscal Debate

The Ibovespa index declined by 0.6% on Monday, dropping below the 144,000 mark, as investors paid close attention to statements from Finance Minister Fernando Haddad, government budget updates, and comments from Federal Reserve officials. Haddad confirmed that the government is in talks with Congress to "recalibrate" a provisional measure aimed at increasing taxes on online betting, fintech companies, and certain investment instruments. These adjustments are part of broader efforts to balance the nation's public accounts. Additionally, the government is set to release its third revenue and expenditure report for 2025 later today, with market participants anticipating that the R$10.7 billion budget freeze will remain unchanged. Internationally, the focus remained on the Federal Reserve as its policymakers suggested a gradual easing cycle. Within the stock market, major banks experienced declines, with Itaú dropping by 0.9% and Banco do Brasil by 0.5%, while Petrobras slipped by 0.3%. Conversely, Vale saw a slight increase of 0.3%. Embraer performed notably well, surging by 1.4% after Latam and its affiliates unveiled plans to acquire up to 74 aircraft to enhance their regional routes.