The Ibovespa hovered near 139,000 in early Tuesday trading, fluctuating as investors showed risk aversion amid escalating tensions between Israel and Iran, now in their fifth day. Global markets also reacted to news that President Trump left the G7 summit early, citing Middle East concerns. Investors await Wednesday’s interest rate decisions from the Fed and Brazil’s central bank. The BCB is expected to hold rates steady at 14.75%.
The focus remains on the tax on financial transactions hike, as the Deputies Chamber approved an urgent vote on a bill to overturn the government’s decree. On the corporate front, Petrobras rose 1.3%, while Vale fell 1%. Major banks traded mixed: Banco do Brasil (-0.2%), Bradesco (+0.5%), Itaú (+0.2%), Santander (-0.2%). Azul gained 2%, while Embraer (-1.1%), CSN (-1.7%), and Gerdau (-0.4%) declined. The volatility index is up 2.9%.
