Ibovespa Climbs to Two-Week High as Petrobras Follows Oil Rally

  • Oil rises to three-week high as Russia floats talks with OPEC
  • Brewer Ambev gains as unemployment falls more than estimated

Brazilian stocks rose to a two-week high as Petroleo Brasileiro SA followed an advance in crude prices and brewer Ambev SA gained after unemployment fell more than estimated.

Petrobras, as the state-controlled oil company is known, advanced as oil rallied 2.9 percent after Russia’s energy minister said that OPEC and other producers may meet to discuss output, paring earlier gains when OPEC delegates said no talks were planned. Ambev posted the biggest back-to-back increase since August 2013.

"Petrobras is Brazil’s most famous company and has a big weight in the local economy," Vitor Suzaki, an analyst at the brokerage Lerosa Investimentos, said from Sao Paulo. "The company’s revenue prospects improve a lot if the prices go up. It’s encouraging."

The Ibovespa added 0.7 percent to 38,630.19 in Sao Paulo, extending a two-day advance to 3 percent, the biggest in almost three months. Petrobras climbed 0.7 percent after earlier gaining as much as 12 percent. Ambev climbed to highest this year.

The benchmark’s gain was limited as planemaker Embraer SA, which gets most of its revenue from exports, dropped 4.1 percent amid a stronger real. Pulp producer Fibria Celulose SA retreated 3 percent. Online retailer B2W Cia. Digital slumped after JPMorgan Chase & Co. recommended selling the stock.

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