Ibovespa Futures Advance as Commodities Gain on U.S. Optimism

Ibovespa futures rose as speculation U.S. lawmakers will agree to raise the debt ceiling lifted commodities and buoyed the outlook for Brazil’s producers.

Auto-parts maker Iochpe-Maxion SA (MYPK3) may move after Credit Suisse Group AG raised its recommendation on the stock to the equivalent of buy. Oil company OGX Petroleo e Gas Participacoes SA may be active after saying Eike Batista sold 74.8 million shares for 29.6 million reais ($13 million) in September.

Ibovespa futures contracts expiring next week rose 0.9 percent to 52,860 at 9:23 a.m. in Sao Paulo. The real strengthened 0.5 percent to 2.1958 per dollar. The Standard & Poor’s GSCI index of 24 raw materials gained 0.4 percent.

Commodities and U.S.-index futures advanced as President Barack Obama prepared to meet Republican leaders today. The federal government is in its 10th day of a partial shutdown and has a week before its borrowing authority lapses Oct. 17.

In Brazil, swap rates surged after the central bank increased the target lending rate for a fifth straight time, raising it to 9.5 percent from 9 percent.

The Ibovespa entered a bull market Sept. 9 after rising 20 percent from this year’s low on July 3 through that day. The gauge is still down 19 percent in dollar terms this year, compared with a decline of 4.2 percent for the MSCI Emerging Markets Index of 21 developing nations’ equities.

Trading volume of stocks in Sao Paulo yesterday was 6.16 billion reais, compared with a daily average of 7.6 billion reais this year through Oct. 8, 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

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.