Economy
The Ibovespa (IBOV) advanced for the first time in three days as Petroleo Brasileiro SA rallied after Brazil’s Finance Minister Joaquim Levy said the country will trim debt and seek a credit-rating upgrade.
BloombergThe Ibovespa (IBOV) advanced for the first time in three days as Petroleo Brasileiro SA rallied after Brazil’s Finance Minister Joaquim Levy said the country will trim debt and seek a credit-rating upgrade.
The state-run oil producer contributed the most to the benchmark stock index’s gain. For-profit college operator Estacio Participacoes SA fell for a third straight day as steps by the Education Ministry last month made it harder for students to obtain loans.
The Ibovespa added 1.3 percent to 48,751.87 at 11:01 a.m. in Sao Paulo as 58 of its 68 stocks advanced. Levy told reporters in Brasilia today that the country plans to cut gross debt below 50 percent.
“That’s a complete change of tone from very pessimistic to a more positive, hands-on approach,” Raphael Figueredo, an analyst at the brokerage firm Clear Corretora, said in a phone interview from Sao Paulo.
Petrobras rose as much as 5.4 percent to 9.29 reais. Estacio declined 2.9 percent to 16.58 reais.
The benchmark stock index entered a bear market Dec. 12 after falling 22 percent from last year’s high in September. Trading volume of equities in Sao Paulo was 5.6 billion reais ($2.1 billion) yesterday, according to the exchange. That compares with a daily average of 7.29 billion reais in 2014.
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