Ibovespa has slight oscillation with US data and local risks on radar By Reuters


© Reuters.

By Paula Arend Laier

SAO PAULO (Reuters) – The showed slight fluctuations this Friday, after retreating more than 2% the day before, amid continued domestic uncertainties and with investors also echoing data from the US labor market.

At 11:17, the Ibovespa rose 0.03%, to 116,711.08 points. The financial volume on the trading floor totaled 5 billion reais.

On Thursday, the Ibovespa fell 2.28% after the Chamber of Deputies approved the reform of the Income Tax, which, among other measures, establishes the taxation of dividends and ends the interest-on-equity (JCP) mechanism.

Earlier, however, the US Department of Labor announced the creation of 235,000 jobs outside the agricultural sector in August, slowing from the previous month and well below economists’ expectations.

In the view of the chief strategist of the digital bank Modalmais, Felipe Sichel, the figure, combined with the figures on unemployment benefits known the day before, implies a reduction in the probability of ‘tapering’ in the short term.

“Until the November meeting, the Fed will only see one more payroll data (for September) released in early October, which could also delay the formal announcement of the stimulus reduction,” he said in a comment to customers.

On Wall Street, stability was hovering after renewing a record the day before, with financial agents focusing on the signal from employment data that the post-pandemic US economic recovery is losing steam.

The attempt to improve the Ibovespa was mitigated by the sum of adversities still present in the local scene, from political-institutional tension, fiscal risks, water crisis, high inflation, among others, which continue to endorse caution.

Investors also continue to monitor the progress of the second phase of the tax reform, which will now be considered by the Senate, where many financial agents believe that the text will encounter resistance, adding even more uncertainties.

Still on the radar and corroborating a more conservative tone, are the demonstrations scheduled for September 7th.

The last trading session this week is also the last with the current composition of the Ibovespa, which will include seven new shares as of Monday.

HIGHLIGHTS

– VALE ON (SA:) rose 1.32%, in a positive session for the mining and steel sector on the Ibovespa, as steel and steel prices also advanced in China. CSN ON (SA:) appreciated 1.49%.

– ITAÚ UNIBANCO PN (SA:) fell 0.84% ​​and BRADESCO PN (SA:) registered a fall of 0.4%, still weighing on the Ibovespa, after heavy losses on the eve of the approval by the Chamber of the IR reform.

PETROBRAS PN (SA:) fell 0.49%, in a session with timid fluctuations in prices abroad.

– RUMO ON (SA:) retreated 2.84% in the second low trading session, after having accumulated a strong recovery since mid-August, with the expansion of the Mato Grosso railway network on the news radar.

– JBS ON (SA:) rose 1.75%, contributing on the positive side, in a move aided by a Bank of America report, which raised the target price of the shares from 50 to 55 reais, reiterating a ‘buy’ recommendation.