Ibovespa Advances for Fifth Straight Week Despite Inflation Hitting Two-Year High
The Brazilian stock market’s benchmark Ibovespa index closed at 136,512 points on Friday, May 9, 2025, advancing 0.2% (280.09 points) and securing a 1.02% weekly gain.
This marks the fifth consecutive winning week for the São Paulo exchange, its longest positive streak since December 2023.
The index now stands at its fourth-highest level in history, just 0.61% below its all-time record of 137,343.96 set in August 2024.
Friday’s modest gains consolidated Thursday’s powerful 2.12% surge when trading volume had reached 1.35 billion shares.
Investors balanced concerns over April’s inflation data showing annual inflation rising to 5.53%, the highest since February 2023, against optimism from global trade developments.
Senior US and Chinese officials prepared for high-level talks in Switzerland while a recent US-UK trade agreement signaled potential tariff tension relief.
Ibovespa Advances for Fifth Straight Week Despite Inflation Hitting Two-Year High
Itaúsa led Friday’s gainers with a 4.5% jump following strong Q1 results. Stock exchange operator B3 SA climbed 1.96% to R$14.53, benefiting from increased trading activity.
Commodity giants showed resilience with Petrobras and Vale gaining 0.51% and 0.40% respectively.
Car rental company Localiza tumbled 6.61% as the worst performer following disappointing quarterly results. BRF fell 5.84% while paper producer Suzano dropped 2.68% after weak earnings.
Rate Hikes Fail to Tame Brazil’s Inflation Fueled by Food and Energy
The Brazilian real firmed near a 14-month high at 5.6626 per USD. Brazil’s aggressive monetary policy stance contrasts with developed markets, creating attractive yield differentials for investors.
The Central Bank recently hiked its benchmark Selic rate to 14.75%, a six-year high. This substantial rate premium drives capital flows despite persistent inflation running well above the 3% target.
Technical indicators remain bullish despite approaching overbought territory. The RSI reads 75.6 while MACD displays strong positive momentum.
The index trades comfortably above all major moving averages after successfully breaking out from its previous 133,000-134,500 range.
Bollinger Bands show expanding volatility with price action maintaining position near the upper band.
B3 SA, the company operating Brazil’s exchange, reported Q1 2025 results showing recurring net income of R$1.13 billion.
The company successfully offset a 7.1% drop in equity trading revenue through diversification.
Fixed income revenue climbed 22% to R$315.4 million while derivatives revenue rose 10% to R$880.9 million.
Foreign investors have injected R$10.8 billion into Brazilian equities during 2025’s first four months. However, April experienced modest outflows of R$133.6 million amid US tariff concerns.
The market maintains its 13.49% year-to-date gain despite challenging economic conditions including slowing growth forecasts and rising unemployment now at 7%.
Key Facts
— Deep Dive
Live Market IntelligenceBrazil — Live Market Board
Rio Times · Live Market Intelligence
Brazil — Live Market Board
+1.37%
186,340.46
+1.37%
64,951.10
-0.24%
10,969.49
-0.78%
2,819,323
+1.32%
2,549.16
-0.38%
60,410.88
-0.96%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| IBOV | 186,340.46 | +1.37% | +21.85% | 183,827.59 | 168,310 | 167,142 | — |
| USD/BRL | 5.16 | +0.01% | -5.13% | 5.16 | 5.18 | 5.14 | — |
| SELIC | 14.00% | — | — | — | — | — | |
| PETR4 | 41.64 | -0.05% | +35.19% | 41.66 | 41.97 | 41.15 | 41,499,400 |
| VALE3 | 72.97 | +0.83% | +30.75% | 72.37 | 73.54 | 72.66 | 17,658,000 |
| ITUB4 | 38.60 | -1.03% | +4.57% | 39.00 | 39.34 | 38.39 | 29,487,800 |
| BBDC4 | 16.85 | +0.36% | +3.50% | 16.79 | 16.90 | 16.67 | 19,416,900 |
| BBAS3 | 19.37 | +0.47% | +0.73% | 19.28 | 19.44 | 19.16 | 11,069,200 |
| B3SA3 | 14.26 | -0.21% | +12.73% | 14.29 | 14.47 | 14.11 | 33,037,800 |
| ABEV3 | 14.89 | -0.80% | +21.91% | 15.01 | 15.07 | 14.81 | 16,453,100 |
| WEGE3 | 47.59 | +0.49% | +29.99% | 47.36 | 48.08 | 47.36 | 3,364,600 |
| PRIO3 | 59.14 | -0.19% | +50.67% | 59.25 | 59.81 | 58.74 | 3,325,600 |
| SUZB3 | 41.33 | +2.35% | -23.55% | 40.38 | 41.48 | 40.35 | 3,914,900 |
| RENT3 | 34.68 | -0.09% | +0.84% | 34.71 | 34.96 | 34.35 | 7,979,100 |
| AZZA3 | 15.89 | -2.63% | -53.76% | 16.32 | 16.42 | 15.82 | 1,330,300 |
| CSNA3 | 4.30 | +0.47% | -42.65% | 4.28 | 4.41 | 4.26 | 10,076,100 |
| GGBR4 | 24.69 | +2.19% | +51.38% | 24.16 | 24.85 | 24.18 | 7,047,600 |
| ENEV3 | 24.21 | -1.38% | +70.49% | 24.55 | 24.64 | 23.99 | 9,297,000 |
— For the complete picture, read our in-depth guide: Latin America Stock Markets 2026: Ibovespa, Merval, COLCAP, IPSA and IPC Guide
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