Brazil's Stocks Drop as Itau Slumps Amid Gloomy Economic Outlook
- Lender falls after posting disappointing quarterly results
- Commodity producers follow decline in raw-material prices
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The Ibovespa posted its longest losing streak in two months as disappointing factory data and corporate profits highlighted the weakness of Brazil’s economy and concern the country will struggle to rebound from its worst recession in a century.
Itau Unibanco Holding SA, Latin America’s biggest bank by market value, contributed the most to the gauge’s decline after earnings fell for the first time in three years amid higher provisions to cover bad loans. Bus maker Marcopolo SA slumped as net income trailed estimates by 20 percent. Brazil’s industrial production rose less than forecast in March from a month earlier as business confidence remains at a record low.