FX.co ★ Ibovespa Falls as Tariff Fears Mount

On Thursday, the Ibovespa index experienced a 0.9% decline, closing below the 134,500 mark as market participants closely monitored Brazil's response to U.S. President Donald Trump's announcement of a potential 50% tariff on Brazilian goods, effective August 1. Trump indicated that tariffs could range between 15% and 50%, suggesting that Brazil might face the steepest rate due to the Supreme Federal Court's recent actions concerning former President Jair Bolsonaro. Finance Minister Fernando Haddad mentioned that there is still an opportunity for negotiations and has initiated contingency planning should these tariffs be imposed. In corporate developments, shares of Marfrig slipped by 1.1%, Petrobras by 0.5%, Vale by 0.4%, Embraer by 0.7%, and CSN by 0.6%. Leading banks also faced declines, with Banco do Brasil decreasing by 0.6% and Bradesco by 1.2%. WEG shares continued their downturn, falling nearly 1%, following an 8% drop in the previous session after the company disclosed its second-quarter earnings results.