Brazil Stocks Lead Global Gains as Commodities Buoy Exporters

  • Ibovespa advances the most in three weeks as exporters gain
  • Speculation that president will be ousted also fuels optimism

Brazil’s stocks led a global equity rally as gains in commodities from metals to crude oil buoyed the South American nation’s raw-materials producers.

Steelmaker Gerdau SA was the best performer on a gauge of exporters as a Standard & Poor’s index of commodities climbed the most in a month. State-controlled oil producer Petroleo Brasileiro SA followed crude’s advance. The Ibovespa, which rose the most in three weeks, also got a boost from speculation that President Dilma Rousseff is getting closer to being impeached, helping to support lenders Itau Unibanco Holding SA and Banco Bradesco SA. A change in government is seen by the market as the country’s best chance at pulling out of Brazil’s worst recession in a century.

"There are many reasons for the Ibovespa to rise today, investors are pretty optimistic," Raphael Figueredo, an analyst at brokerage Clear Corretora, said from Sao Paulo. "Prospects for Brazilian companies that sell abroad and domestically seem encouraging."

The Ibovespa advanced 3.4 percent, the biggest gain among major benchmarks in dollar terms, to 50,174.49 at 10:44 a.m. in Sao Paulo. Fifty-five of its 61 stocks gained. Gerdau added 6.4 percent, and Petrobras climbed 6.1 percent. Itau advanced 4.9 percent and Bradesco gained 4.4 percent. The two banks contributed the most to the index’s gain Friday.

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