After accumulating losses of 8% last week, the Bovespa index rose 2,36%, to 106,625 points this Monday.
On Monday (2), B3, the main index of the Brazilian stock exchange, closed higher after accumulating a loss of more than 8% last week. All this amid expectations of actions by central banks to reduce the impact of the spread of the coronavirus on the pace of global economic activity.
The Ibovespa reached 106,625 points, up 2.36%. The day's high was 107,868 points and the low was 103,779 points.
Meanwhile, the dollar rose unabated for the ninth consecutive session on Monday, closing at R$ 4.4860.
The Bovespa index closed up 1,15% this Friday, marking 104,171 points. So far this week, it has lost 8,37%, the worst weekly result since August 5, 2011, according to Economatica.
Even with Monday's advance, the stock market remains down 7.80% this year.
Hypera rose 16.621 TP3T, leading the day's gains, after acquiring Takeda's drug portfolio for US$1.4T 825 million, including Neosaldina and Dramin. According to the company, the acquisition will make Hypera the largest pharmaceutical company in Brazil and the leader in over-the-counter medications.
CVC Brasil fell drastically by 10.61% after announcing that it had discovered evidence of errors in its accounting records. This, once confirmed, could mean significant adjustments to the company's reported results, Reuters reported.
Impact on the local economy
Adolfo Sachsida, Secretary of Economic Policy at the Ministry of Economy, stated that the coronavirus should lead to a revision in the estimate of the Brazilian Domestic Product (GDP).
The secretariat he heads is responsible for setting the government's official projections for the economy. In January 2020, it even announced an increase in its growth forecast, changing the expectation from 2.32% to 2.40%. However, according to the secretary, the new revision of the figure should be announced by the end of next week.
The Brazilian market has reduced its GDP growth forecast for this year to 2,17%, according to the Central Bank's Focus survey. However, several banks and consulting firms are already estimating growth of less than 2%.
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