Ibovespa opens higher, with preview of lower-than-expected inflation

[ad_1]

Yesterday, the main index of the Brazilian stock market retreated 1.03%, to 108,799 points. Ibovespa operates at a low Freepik The Ibovespa, the main index of the São Paulo stock exchange, the B3, operates at a sharp increase this Thursday (25th), after the release of the IPCA-15 of May, the official preview of inflation, which came in lower than expected by the market. The IPCA-15 rose 0.51% in May and accumulated a 12-month high of 4.07%. Investors also resonate with the release of GDP for the first quarter of 2023 in the United States and follow the course of the renegotiation of the American debt ceiling. At 10:30 am, the index rose 1.63%, to 110,578 points. See more quotes. On the eve, the Ibovespa fell by 1.03%, to 108,799 points. With the result, the index began to accumulate: Gains of 4.18% in the month; Falls of 1.76% in the week and 0.85% in the year. What is messing with the markets? In the domestic scenario, the Extended National Consumer Price Index 15 slowed down compared to last month: in April, the index rose 0.57%, driven by fuel prices, and accumulated a rise of 4.16% in one year. Traditionally, when inflation drops, the Central Bank tends to lower the Selic rate, which today stands at 13.75%. The lower the interest, the greater the appetite for risk on the part of investors. Abroad, another important factor was the second estimate of the US GDP released this Thursday, which put a damper on the US debt ceiling impasse. The country’s Gross Domestic Product increased at an annualized rate of 1.3% in the last quarter, the government said. Regarding the renegotiation of debts in the world’s largest economy, the government and Congress have not yet reached an agreement. If Democrats and Republicans can’t agree to allow the US government to borrow more — or, to use public finance parlance, raise the debt ceiling — the world’s largest economy could default on its debts coming due in early June. What can happen in Brazil if the US defaults for the first time in history? Economic data from Germany is also on the market’s radar. This is because the country’s Gross Domestic Product (GDP) fell by 0.3% in the first quarter of 2023 compared to the previous three months, thus entering a recession (when economic contraction occurs in two consecutive quarters). In the 4th quarter of 2022, German GDP fell by 0.5%. Initial plugin text

[ad_2]

Source link