The index rose 4.85% to 74,617 points. The day before, the stock market collapsed and closed down 13.92%.
Bovespa closes session with a strong rise on Tuesday (17), after a significant drop the day before. B3 is the main index of the Brazilian stock exchange. The previous day, trading was interrupted as soon as it opened.
The Bovespa index rose 4.85%, to 74,617 points. At its daily high, the stock market reached 77,254 points. While the dollar closed the session down 1.1%, to R$ 5.0056.
In the previous session, the Ibovespa closed with a drop of 13.92%, at 71,168 points. In the year to date, the loss on the stock exchange reaches 38.46%.
USA
The movement of the São Paulo stock exchange followed the gains in the United States markets, where President Donald Trump announced new measures against the coronavirus pandemic.
The Donald Trump administration in the US has announced its intention to send checks to citizens to alleviate the economic impacts of the pandemic. Treasury Secretary Steven Mnuchin said the government is considering sending this money in the next two weeks.
While the Federal Reserve (US central bank) announced that it will resume purchasing short-term corporate debt to ease credit markets.
“Governments are stepping up their response to the coronavirus outbreak, which is giving markets a chance to recover on Tuesday,” analyst Jasper Lawler, head of research at London Capital Group, said in a note to clients, according to Reuters.
Other countries
- On Tuesday (17), Japan's central bank made its largest injection of dollar funds since 2008. While the eight largest US banks said the night before that they will jointly access funds from the Federal Reserve's so-called “discount window”.
- In the Philippines, the stock exchange closed for an indefinite period and trading in currencies and bonds was suspended.
- Türkiye's central bank has cut its main interest rate by 1 percentage point.
- France, Italy and Spain have banned short selling.