Ibovespa rises 1.46% and advances 3.27% in July By Estadão Content

2023-08-01 10:00:38

© Reuters. Ibovespa rises 1.46% and advances 3.27% in July

Ahead of New York in the last session of the month, where the three main indices fluctuated around stability and closed in a slight positive bias, the reached 122 thousand points in the intraday, without being able to sustain the mark at the close. Even so, it accumulated a gain of 3.27% in July, after advancing 9% in the previous month. Today, it fluctuated from 120,187.87 to 122,148.81 points, and ended Monday up 1.46%, at 121,942.98 points, with a turnover of R$ 21.9 billion in this opening week. In the year, the Ibovespa gains 11.13%.

In US currency, the Ibovespa closed July 2022 at 19,937.90 points. In 2023, in , after having reached the end of the first quarter at 20,100.65 points, the Ibovespa reached 21,355.22 points at the close of May and, at the end of June, reached 24,654.87 points, reflecting not only the advance nominal value of the B3 index (BVMF:) in the month, of 9%, but also the appreciation of the real against the dollar. Now, with the dollar down 1.25% against the real in July, and a gain of just over 3% for the Ibovespa, the B3 index, in the American currency, rose to 25,783.48 points.

On the agenda for the week, in addition to the Copom’s decision on Wednesday – with advances in bets that a cut of half a percentage point may come at this meeting -, a highlight is the Chamber, which resumes work this Tuesday, 1st, after two weeks of recess, in the midst of negotiations for the boarding of Centrão in the government and with a focus on the priorities of the Minister of Finance, Fernando Haddad. The economic agenda that will focus the attention of the deputies includes the analysis of the changes made by the Senate in the new fiscal framework and the Budgetary Guidelines Law (LDO) for next year.

“What we saw in the minutes of the last Copom meeting, all the items that were placed as conditions for starting to lower interest rates were met, basically, throughout that year. The negative came twice, which shows a inflection, now, in inflation”, says Piter Carvalho, chief economist at Valor Investimentos, mentioning progress, albeit partial, in reforms in Congress and also in the fiscal framework, which contributes to greater predictability.

This Monday, the recovery was well distributed among the shares with the greatest weight on the Ibovespa, with emphasis on the strong recovery in Petrobras (BVMF:) (ON +5.26%, PN +4.54%), after the definition last Friday of the change in the company’s dividend policy – in the month, the ON accumulated a gain of 5.17% and the PN, 5.35%. Vale ON (BVMF:) rose 2.26% today and, in July, accumulated a recovery of 7.69%, still yielding 20.48% in the year.

At the top of the index this opening week, Carrefour Brasil (BVMF:) (+8.29%), Dexco (BVMF:) (+6.76%) and BRF (BVMF:) (+6.20%). On the opposite side, Hypera (BVMF:) (-1.68%), CVC (BVMF:) (-1.65%) and Rede D’Or (BVMF:) (-1.10%).

On the external agenda, the good performance of commodity stocks in the session (+2.48%) was inspired by a slight recovery in China’s industrial PMI in July, but still in contraction territory, at 49.3, after reading at 49, 0 in the previous month – from one month to the next, there was an increase in the item referring to new orders, which signals an improvement, albeit marginal, in Chinese domestic demand, observes in a note to Monte Bravo Investimentos. “The expectations of businessmen in the sector rose for the first time, after five months of decline, and also indicate more confidence in the economy”, adds the house.