05.06.202520:25:03UTC+00Ibovespa Declines on Thursday

The Ibovespa index experienced a decline of 0.6%, closing at 136,236 on Thursday, as a mix of international challenges and domestic tensions impacted Brazilian stocks. Globally, the absence of significant developments from Thursday's phone conversation between Xi Jinping and Donald Trump, coupled with disappointing U.S. labor statistics, rekindled worries that ongoing trade conflicts and a slowing U.S. economy might dampen global demand for commodities. This was further highlighted by Brazil's trade surplus in May being lower than anticipated and declining foreign interest in Brazilian exports. Domestically, political uncertainty intensified as investors contemplated alternatives to the recent IOF tax decree, leading to questions about fiscal sustainability and potential revenue deficits. On the stock market, leading banks such as Itaú and Bradesco declined by 1.3% and 2.3%, respectively, amid speculation of potential monetary easing by the central bank. Additionally, major companies like Ambev, WEG, and B3 saw losses ranging from 1.1% to 2.4%. The energy sector also faced pressure with Petrobras slipping due to weaker oil futures, although mining companies managed to perform relatively well.