Bovespa Index Drops as Economists Cut Brazil’s Growth Forecast

The Bovespa stock index fell to a one-week low after analysts lowered forecasts for Brazil’s economic growth this year, adding to concern that a sluggish recovery may hurt corporate earnings.

Natura Cosmeticos SA, Brazil’s biggest cosmetics maker, had its biggest one-day slump in almost four months. Centrais Eletricas Brasileiras SA led a rout by power utilities on concern low water levels at hydropower dams may compel Brazil to ration electricity this year. Securities clearinghouse Cetip SA-Mercados Organizados fell after HSBC Holdings Plc lowered its recommendation to the equivalent of hold.