Ibovespa Snaps Two-Day Drop as PDG Realty Leads Builders Higher
The Ibovespa gained for the first time in three days as PDG Realty SA Empreendimentos & Participacoes (PDGR3) led homebuilders higher after reporting an increase in quarterly sales.
Railroad company ALL-America Latina Logistica SA and cane processor Cosan SA Industria e Comercio (CSAN3) were the best performers on the gauge after Cosan said it’s closer to an agreement to merge its logistics unit will ALL. Retailer Cia. Brasileira de Distribuicao Grupo Pao de Acucar advanced after posting fourth-quarter sales that beat analysts’ forecasts.
The Ibovespa advanced 0.5 percent to 48,067.90 at 10:32 a.m. in Sao Paulo, with 52 stocks rising and 20 falling. The stock benchmark is little changed this week. The real climbed 0.2 percent to 2.3898 per U.S. dollar.
“Homebuilders have fallen so much recently that even the smallest piece of good news can spark a rebound,” Fernando Goes, an analyst at Clear Corretora in Sao Paulo, said in a phone interview.
PDG Realty gained 3.1 percent to 1.68 reais, reducing the slump in the past 12 months to 45 percent. While the company reported a quarterly net loss, sales beat estimates among analysts surveyed by Bloomberg.
ALL rallied 15 percent to 6.22 reais. Cosan advanced 4.1 percent to 36.15 reais. Pao de Acucar increased 2.2 percent to 97.60 reais.
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