Ibovespa future operates between losses and gains; dollar and interest rate futures open lower

The Ibovespa future operates between losses and gains in the first trades this Wednesday (20), with a disadvantage in relation to the pre-market in the United States. Despite being the eve of a holiday, the day has already started full of information, with operational previews, balance sheets and an extensive political agenda. Both the Minister of Economy, Paulo Guedes, and the president of the Central Bank, Roberto Campos Neto, participate in meetings of the G20 and the International Monetary Fund (IMF).

Here in Brazil, the corporate earnings season officially started with Usiminas’ (USIM5) results in the first quarter. The steelmaker reported a 5% growth in net income compared to the same quarter of 2020, but a decrease of 49% compared to the fourth quarter of 2021.

The market should also reflect operational previews released between yesterday and today, with emphasis on the 6% drop in Vale’s iron ore production. In retail, Carrefour (CRFB3), Assaí (ASAI3) and GPA (PCAR3) recorded an increase in sales.

At 9:07 am (Brasília time), the Ibovespa futures traded in a slight rise of 0.01%, at 116,985 points.

The commercial dollar opened lower and is trading at BRL 4.656 on purchase and BRL 4.657 on sale, down 0.24%.

Future interest rates suggest that in the first trades of the day, with the exception of the shortest maturity: DIF23, +0.02 pp, at 13.04; DIF25, -0.04 pp, 11.99%; DIF27, -0.04 pp, at 11.74%; DIF29, -0.03 pp, at 11.86%.

in the segment of commodities, Brent crude is trading around $108, up more than 1%. Iron ore prices on the Dalian Stock Exchange fell again today, after China announced that it must reduce steel production in order to cut greenhouse gas emissions. Today, Chinese authorities thwarted investors’ expectations and failed to cut borrowing rates. The market awaits stimulus measures, as China experiences the worst wave of Covid-19 since the beginning of the pandemic.

The corporate balance sheet season in the United States is in full swing and the indices continue to reflect the numbers released so far. In the first trades after Netflix’s results, futures indices operate with moderate gains. The streaming company’s balance sheet was considered weak, with the first drop in subscriber numbers in a decade. The company’s shares on Nasdaq are down more than 27% before the market opens.

Dow Jones futures rose 0.28%, while the S&P 500 and Nasdaq futures advanced 0.26%. Investors should follow new speeches by Federal Reserve officials looking for signs on the future of US monetary tightening after James Bullard, one of the Fed Boysindicated that the monetary authority could raise interest rates by 0.75 percentage point at the next meeting.

Stock markets in Europe are rehearsing recovery, also with corporate news on the radar. According to analysts, investors follow the results and projections of companies listed on the Stock Exchange, assessing whether companies are being able to navigate headwinds, including the escalation of global inflation. But the earning potential tends to be limited, as rising prices tend to slow growth.

On the eve of the second round of the presidential election in France, which takes place over the weekend, candidates Emmanuel Macron (current president) and Marine le Pen debate tonight on French TV.

Investors continue to monitor the war in Ukraine after Kreminna, a city in the east of the country, was captured by Russian forces.

The pan-European Stoxx 600 index, which tracks the performance of companies from 17 countries on the continent, rose 0.88%.

Technical analysis by Pamela Semezatto, investment analyst and day trader specialist at Clear Corretora

Ibovespa

“Still no signs of resumption for the high. However, the last three candles had a lot of lower wick, indicating that they also don’t have much strength for the fall. As it is in a strong support region (and with yesterday’s lower wick), I expect that in the next few days it will be able to trace bottom and give bullish signals.”

Dollar

“It continues in a downtrend and in consolidation between 4,620 and 4,800. Yesterday was another day of indecision that did not indicate a resumption of the trend or strength in the purchase!”

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