Brazil’s Ibovespa ends the day higher, driven by Petrobras

The Ibovespa, the main index of the Brazilian Stock Exchange (B3), ended the trading session on Thursday, 11, with an appreciation of 0.75%, breaking the 108 thousand points mark.

This was the sixth consecutive high for the indicator.

The main good news for market agents came from Petrobras. The state-owned company announced a profit of more than R$38 billion in the first quarter of this year, helping the Ibovespa to rise throughout the day.

With this, the company should pay out more than R$24 billion in dividends, which exceeds market expectations by almost R$8 billion – each oil company shareholder will receive R$1.89 per share.

Despite the good news for shareholders, Petrobras must revise its dividend policy by the end of July. Thus, the payments may be reduced from the following results announcement.

DOLLAR’S PERFORMANCE

The dollar closed the session down 0.26%, quoted at R$4.93. The Brazilian currency stood out against the American currency due to the differential between Brazilian and foreign interest rates and the increase in the flow of investments in the stock exchange.

Another dominant factor for the dollar’s performance was the release of insufficient data from China, influenced by slow growth in consumer prices and deflation increase in the Asian country’s economy.

Follow the main market indexes
Ibovespa: 108,256.48 (+0.75%)
S&P 500: 4.130,62 (-0,17%)
Nasdaq: 12.328,51 (+0,18%)
Dow Jones: 33,309.51 (-0.66%)
Dollar: R$ 4.93 (-0.26%)
Euro: R$ 5.38 (-0.84%)

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