Ibovespa hits record high and government expands support.

Ibovespa reaches 155,000 points with its 14th consecutive rise.

The Ibovespa index, the main indicator of the Brazilian stock exchange, closed on Monday (10) at 155,257 points, registering an increase of 0.77%. This was the 14th consecutive increase, a sequence that approaches the historical record of 15 consecutive increases, registered in 1994, shortly before the Real Plan. In 2025, the Ibovespa accumulates an appreciation of 29.08%, the largest since 2019, when it rose 31.58%.

The positive performance was driven primarily by shares in the oil, mining, and banking sectors. The October increase was 3.82%, reflecting investor confidence in the Brazilian economic outlook.

Dollar decline and interest rate expectations

In the foreign exchange market, the commercial dollar fell 0.55%, closing at R$ 5.307. The US currency traded lower throughout the session, reinforcing the favorable environment for investments in variable income.

Investors are awaiting the release of the minutes from the Monetary Policy Committee (Copom) meeting and the official inflation data for October to understand the timing of a possible reduction in the Selic rate, currently the basic interest rate in the economy. If inflation comes in below expectations, the Central Bank could begin cuts as early as January 2026, further stimulating the stock market.

Brazil Sovereign Plan expands support for exporting companies.

In parallel, the federal government expanded access to the Sovereign Brazil Plan, a program that offers financial support to companies affected by tariffs imposed by the United States. The minimum export impact requirement to apply for financing was reduced from 5% to 1%, benefiting a larger number of companies.

The Vice President and Minister of Industry, Foreign Trade and Services (MDIC), Geraldo Alckmin, highlighted that the government seeks to balance trade negotiations with measures to support the productive sector. Recently, the Minister of Foreign Affairs, Mauro Vieira, met with the US Secretary of State Marco Rubio to discuss the reduction of trade tariffs, which reach 40% on some Brazilian products.

Impacts and perspectives

• The appreciation of the stock market favors the business environment and attracts investors to the stock market.
• The fall of the dollar and the expectation of lower interest rates may stimulate consumption and investment in the country.
• Government support for exporters helps mitigate the effects of US tariffs, strengthening Brazil's international competitiveness.

Photo by ELISA KERSCHBAUMER on Unsplash