The Ibovespa rose the most among major equity gauges in the Americas as service industries grew faster than forecast in the U.S., Brazil’s second-largest trading partner, bolstering the outlook for the stock market.
Iron-ore producer Vale SA advanced as a weaker real boosted the prospects for Brazil’s exports. Hypermarcas SA (HYPE3) rose as a gauge of the consumer-health products manufacturer’s second-quarter profit exceeded analysts’ estimates.
The Ibovespa added 0.3 percent 48,622.73 at 11:44 a.m. in Sao Paulo. Forty-five stocks rose on the index while 26 fell. The real weakened 0.6 percent to 2.3009 per U.S. dollar. In the U.S., the Institute for Supply Management’s non-manufacturing index increased to 56 in July from 52.2 the prior month, a report from the Tempe, Arizona-based group showed today.
“If you look at the world economy, things seem to be picking up, especially in the U.S., which could give a little hand to the Brazilian equity market,” Pedro Galdi, the chief strategist at Sao Paulo-based brokerage SLW Corretora, said in a phone interview.
Vale climbed 1.4 percent to 28.80 reais. Hypermarcas jumped 3 percent to 17.08 reais.
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