Ibovespa Records Weekly Gains

The Ibovespa gained 1.54% to close at 126,526 on Friday, amid renewed optimism for interest rate cuts by the Bank of Brazil post-June.

April’s IPCA mid-month inflation gauge exhibited a notable decline from the previous month and below expectations.

The results, particularly favoring credit-sensitive equities, drove gains, with Americanas rising 5.45%, followed by Hapvida up 4.14%, Petz up 4.79%, and Hypermarcas gaining 4.42%.

In earnings news, Multiplan reported quarterly net profit 28.9% higher than the previous year, pushing its shares up by 4.03%.

However, Core PCE prices, the Fed’s preferred inflation measure, surpassed expectations, heightening anticipation of prolonged hawkish monetary policy, somewhat restraining the Ibovespa’s gains.

For the week, the Ibovespa was on track to post gains of 1.12%.