The stock market recorded its worst monthly performance since August 1998. The Bovespa index fell 2,17%, to 73,019 points. The drop in 2020 is 36,86%.
B3 had its worst monthly performance in over 20 years. It closed down on Tuesday (31), concluding the last session of March. Which, in turn, was full of doubts, due to the impacts of the new coronavirus pandemic on the economy.
The Ibovespa fell 2.17%, to 73,019 points. At the lowest point of the day, the stock exchange marked 72,385 points. At the highest point, it was 75,511 points.
Listed companies lost R$1.1 trillion in market value in March.
With the performance of the 31st, the stock market accumulated a drop of 29.9% in March. Registering the worst performance since August 1998 (a drop of 39.55%). When Brazil was dealing with the impacts of the Russian crisis. This year, it is already 36.86%.
Meanwhile, the dollar rose 0.31%, to R$ 5.1960, and accumulated a high of 16% in the same month.
“Free fall”
“Prices have lost any reference”, summarized manager Werner Roger, founding partner of Trígono C(apital.
In the month of March, the circuit breaker was triggered six times. This is the mechanism that suspends trading when the Bovespa index registers significant drops from 10%. Thus, reflecting concerns about the undeniable impacts of the Covid-19 pandemic on the national and global economies.
Despite the efforts – at different levels – of the most diverse countries around the world, uncertainties still remain. After all, even after a series of global economic stimulus measures. Regardless of the (relatively) better news about vaccine development and testing. The month of March and the first quarter ended with a series of gaps. Especially regarding the blows suffered by the economy.
While the rate of contagion shows no signs of easing and lockdown measures have been extended out of necessity, the final effect on global activity remains uncertain, as does the timing of countries' economic recovery.
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