Car-rental company Localiza Rent a Car SA (RENT3) may move after Banco BTG Pactual SA cut its recommendation on the stock to the equivalent of hold. Cia. Energetica de Minas Gerais, the utility known as Cemig, may be active after Moody’s Investors Service placed its credit rating under review for a cut.
Ibovespa futures contracts expiring this month added 0.3 percent to 46,320 at 9:20 a.m. in Sao Paulo after the benchmark equity index tumbled yesterday the most in seven months. The real climbed 0.3 percent to 2.4328 per U.S. dollar today.
Itau reported recurring net income, which excludes one-time charges, of 4.68 billion reais in the fourth quarter, compared with 3.5 billion reais a year earlier and the average estimate of 4.18 billion reais among 10 analysts surveyed by Bloomberg.
Brazil’s industrial production contracted 3.5 percent in December from a month earlier, the national statistics agency reported today. Economists surveyed by Bloomberg had predicted a 1.7 percent drop.
The Ibovespa has tumbled 18 percent from a bull-market high on Oct. 22 as inflation exceeded policy makers’ target for a third consecutive year and concern mounted that higher government spending will lead to a reduction in the country’s credit rating.
To contact the reporter on this story: Ney Hayashi in Sao Paulo at firstname.lastname@example.org
To contact the editor responsible for this story: Brendan Walsh at email@example.com