Ibovespa climbs 1.42% to highest level since April

On 10 September, the Ibovespa rose 1.42% to finish at 188,269 points, marking its highest nominal close since 28 April, when it reached 188,619 points. The benchmark index touched an intraday low of 184,601 points and a high of 188,539 points. Financial volume reached R$ 22.9 billion on the Ibovespa and R$ 30.7 billion across the entire B3 exchange.

The index decoupled from international markets despite a surge of over 6% in Brent crude oil prices toward $108 per barrel. In New York, the Nasdaq fell 0.65%, the Dow Jones declined 0.60%, and the S&P 500 slipped 0.58% amid broader risk aversion.

Gains were supported by bank and energy shares. Bradesco preferred shares advanced 3.88%, while Santander units slipped 0.13%. Petrobras preferred shares rose 1.45% and its common shares climbed 1.77%. On the downside, Vale common shares lost 1.10%.

Market participants attributed the local rally to election polling showing gains for Senator Flávio Bolsonaro against President Luiz Inácio Lula da Silva. Henrique Lara, partner and equity portfolio manager at Reach Capital, stated that perceived political and economic weakness favored a government change, noting that allocators have expanded purchases of EWZ options, moving maturities forward from November and December into October.