Ibovespa operates in decline driven by Ambev after an 11% drop in profit; dollar rises

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The previous day, the North American currency advanced 0.74%, quoted at R$4.9694. The main stock index on the Brazilian stock exchange closed down 1.16%, at 130,155 points. Dollar banknotes Pexels Ibovespa, the main stock index of the Brazilian stock exchange, B3, operates lower this Thursday (29), with shares of the beverage brand Ambev leading the falls after reporting an 11% drop in profit of the company. The dollar is already rising, after the release of the most recent employment data in Brazil. The unemployment rate was 7.6% in the quarter ended in January, according to the Continuous National Household Sample Survey (PNAD), released by the Brazilian Institute of Geography and Statistics (IBGE). The result was better than market expectations, which predicted a rate of 7.8%. However, it represents an increase in relation to the previous moving quarter: between October and December, the unemployment rate was 7.4%. The market also reflects the release of the core PCE inflation index in the United States, which rose 0.4% in January, compared to an increase of 0.1% in December. See below for a summary of the markets. Dollar At 11:20 am, the dollar rose 0.28%, quoted at R$4.9833. See more quotes. The day before, the North American currency rose 0.74%, quoted at R$4.9694. With the result, it accumulated: drop of 0.46% in the week; increase of 0.65% in the month; increase of 2.41% in the year. Ibovespa At the same time, Ibovespa fell 0.61%, to 129,355 points. Shares in the drinks brand Ambev fell almost 7%, leading the stock market’s declines in this session. The company’s negative performance is driven by the 11% drop in its profit in the fourth quarter of 2023 compared to the same period in 2022, according to a corporate balance sheet released earlier. The company’s profit was R$4.53 billion, with a decrease in net revenue (-12%), which was R$19.99 billion. The market expected a profit of R$4.64 billion and revenue of R$22.14 billion, according to a survey by LSEG. According to the company, its sales volume in Brazil fell from one year to the next due to the strong comparison base generated by the 2022 World Cup. The day before, the index fell 1.16%, to 130,155 points. With the result, it accumulated: increase of 0.57% in the week; increase of 1.88% in the month; decline of 3% in the year. MONEY OR CARD? What is the best way to take dollars when traveling? DOLLAR: When is the best time to buy the currency? Understand what makes the dollar rise or fall What is moving the markets? The day began with the release of the unemployment rate for the quarter ending in January, which was slightly better than market projections. In relation to the quarter ended in December, there was a slight acceleration in the rate, of 0.2 percentage points. In relation to the immediately previous quarter, between August and September, the period had stability in unemployment (7.6%). Against all moving quarters, it is the first increase since February 2023. In the same quarter of 2022, the rate was 8.4%. Rafael Perez, economist at Suno Research, comments that the “upward movement in the unemployment rate at the beginning of the year was already expected, given the seasonality of the job market and the layoffs of temporary workers at the end of the year” and highlights that the increase was moderate, showing a strengthened job market. “The resilient labor market and the expansion of workers’ income have been fundamental in sustaining the economy’s growth since last year. However, this movement has sent a warning signal to the central bank, as it could put pressure on services inflation and make it difficult for prices to fall more sharply”, points out Perez. Still on the domestic scene, investors are keeping an eye on the G20 meeting. Finance Minister Fernando Haddad was released from Covid-19 and will participate in the event in person. Investors follow what will be said at the event. Yesterday, the minister said that a global minimum tax on wealth “could constitute the third pillar for international tax cooperation”. “Recognizing the advances made in the last decade, we need to admit that we still need to make the world’s billionaires pay their fair share in taxes,” said Haddad. In the same vein, the secretary of economic policy at the Ministry of Finance, Guilherme Mello, stated during the G20, in São Paulo, and reinforced that taxation on large inheritances and the profits of large companies will be topics discussed by the department in the group’s next meetings . Abroad, investors reflect the core PCE, which rose 0.4% in January, within expectations. This is the Federal Reserve’s (Fed, the American central bank) favorite price index and its result could provide a signal about when the interest rate cut cycle should begin in the country. This indicator measures the variation in prices of goods and services purchased by consumers for consumption purposes, excluding volatile food and energy items.

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