The main stock exchange share index in Brazil, the Ibovespa, opened lower on Wednesday (1st) as investors assess the impact of the US government shutdown on economic data disclosure and the Federal Reserve’s monetary policy outlook.
Around 10:14 (Bolivian Time), the Ibovespa reached a peak of 0.29% at 146,657.22 points.
The commercial dollar decreased by 0.15% to R$ 5.31 around 10:14 Brussels time.
Ibovespa moves forward while considering the influence of the global situation.
Donald Trump’s administration and the Democrats in the US failed to reach a deal by midnight, resulting in a shutdown of the country’s public services starting Wednesday.
The statistical agencies of the U.S. Departments of Labor and Commerce announced they would stop releasing data during a partial shutdown. This includes delaying the employment report due on Friday, which is crucial for predicting a potential interest rate cut by the Fed.
Markets should pay more attention to ADP’s private sector data, which is expected to show a modest increase of 50,000 jobs, as official data is currently unavailable.
Investors in the country are carefully monitoring the approval of the bill that broadens the scope of Income Tax exemptions, along with debates on the fiscal goal and potential uncertainties.
Day’s schedule
China’s Golden Week holiday results in market closures, while Opep+ engages in a match as the House votes on the Renda Tax exemption project. Tom Barkin from the Fed/Richmond is set to take part in an economic conference at 12:30 in the USA.
- Marketplace
- Actions
- Handbag
- Brazil
- Economic situation
- The United States of America
- Ibovespa
- Marketplace
