The Ibovespa made a notable recovery, climbing 0.5% to close at 132,495 on Tuesday, reversing two days of losses. The rally was fueled by significant performances from major companies and a robust showing in the meat processing sector, as investors absorbed new economic data. Brazil's manufacturing PMI exhibited a healthy increase, rising to 53.2 in Stember from 50.4 in August, indicating sustained growth over nine consecutive months in factory activity.
Among the key players, state-controlled oil titan Petrobras surged by 2.5% amid escalating oil prices. Manufacturing leader WEG saw a gain of 2.3%, while beverage powerhouse Ambev experienced a significant increase of 4%. The meat processing sector led the charge, with JBS and BRF witnessing rises of 2.8% and 2.7%, respectively.
Looking ahead, the Ibovespa index has faced a decline of 1.26% or 1,690 points since the start of 2024, according to trading on a contract for difference (CFD) that tracks this benchmark. Analysts predict the Brazil Stock Market (BOVESPA) to trade at 129,008.32 by the end of the current quarter, with further projections estimating a drop to 120,941.18 in the next 12 months.