12.09.202514:14:12UTC+00Ibovespa Slips as Bolsonaro Conviction Roils Markets

On Friday, the Ibovespa faced challenges in maintaining the 143,000 level as investors evaluated the ramifications of former President Jair Bolsonaro’s sentencing. Bolsonaro received a prison sentence of 27 years and 3 months in a landmark decision that also implicated senior members of the Armed Forces in anti-democratic activities. The ruling prompted a wave of international comments, including US Secretary of State Marco Rubio who described it as a "witch hunt," and Donald Trump who critiqued it as "terrible," though there was no indication of additional sanctions being imposed. Previously, Trump had imposed higher tariffs on Brazilian goods in July, citing in part the proceedings against Bolsonaro. Significant financial institutions saw declines, with Itaú Unibanco dropping 1.3% and Bradesco decreasing 0.5%, reflecting continued concerns over potential US tariffs and sanctions in response to Bolsonaro’s conviction. Conversely, leading commodity firms experienced gains, with Petrobras and Vale seeing slight increases.