Brazilian Stocks Close Higher for Ninth Consecutive Weekby
Lojas Americanas climbs to record high after surge in profit
Ibovespa index reports ninth weekly advance amid earnings
Brazilian stocks posted their ninth straight weekly gain, the longest rally since 2009, led by pulp producers such as Suzano Papel & Celulose SA and steelmakers including Gerdau SA.
The Ibovespa equity index was little changed at 58,298.41 on Friday, after fluctuating between gains and losses during the day. For the week, it closed up 1.1 percent, bringing its year-to-date rally to 34 percent. Pulp producers Suzano SA and Fibria Celulose SA posted the biggest gains in the index in the week.
“Corporate earnings overall were good, and this is definitely driving the market until Monday, when the earnings season is over,” said Paulo Henrique Amantea, an analyst at brokerage Guide Investimentos.
Metals producers have been among the best gainers this year as a rebound in some commodities prices coincided with improved investor sentiment that Brazil will soon be able to exit its worst recession in a century. The senate voted to move ahead with the impeachment trial of suspended President Dilma Rousseff, which investors say will clear the way for acting President Michel Temer to implement key fiscal and economic reforms.
Retailer Lojas Americanas SA rose 4.6 percent on Friday to the highest on record after it said late Thursday that earnings almost tripled in the second quarter from a year earlier.