Bovespa Futures Advance as Commodities Gain Boosts Export View

Bovespa stock-index futures advanced as higher commodities prices boosted the outlook for Brazilian raw-material producers.

Homebuilder MRV Engenharia (MRVE3) & Participacoes SA may move after reporting fourth-quarter profit that trailed analysts’ forecasts. Paper maker Klabin SA (KLBN4) may be active after its credit rating was raised to investment grade by Standard & Poor’s.

Bovespa-index futures contracts expiring in April advanced 0.1 percent to 57,440 at 9:07 a.m. in Sao Paulo. The real climbed 0.1 percent to 1.9700 per dollar. The Standard & Poor’s GSCI index of 24 raw materials added 0.7 percent as industrial metals climbed on signs of faster economic growth in the U.S.

Consumer stocks may move as Brazil’s seasonally adjusted economic activity index, a proxy for gross domestic product, rose 1.29 percent in January from a month earlier, the country’s central bank said today. The number was higher than predicted by all but one of 21 analysts surveyed by Bloomberg, with the median forecast for a 0.8 percent rise. The figure for December was revised to a contraction of 0.45 percent from an increase of 0.26 percent.

The Bovespa (IBOV) has dropped 9.5 percent from this year’s high on Jan. 3 amid concern accelerating inflation may curb Brazil’s economic recovery and the government’s interventionist policies will hurt profits in industries including utilities and energy. The MSCI BRIC Index (MXBRIC) of shares in Brazil, Russia, India and China has slid 4 percent over the same period.

Brazil’s benchmark equity gauge trades at 11.6 times analysts’ earnings estimates for the next four quarters, compared with 10.9 for the MSCI Emerging Markets Index (MXEF) of 21 developing nations’ equities, data compiled by Bloomberg show.

Trading volume for stocks in Sao Paulo was 7.76 billion reais ($3.94 billion) yesterday, which compares with a daily average of 7.6 billion reais this year through March 13, according to data compiled by the exchange.

To contact the reporter on this story: Ney Hayashi in Sao Paulo at ncruz4@bloomberg.net

To contact the editor responsible for this story: David Papadopoulos at papadopoulos@bloomberg.net

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