Brazil and currencies

Ibovespa

The main index of B3, Brazil's stock exchange, made up of the most traded Brazilian shares. It has existed since 1968.

Why does it matter?

It is the most common measure of how the Brazilian stock market is doing.

How do I read it?

A few large companies, such as Vale, Petrobras and the big banks, carry a lot of weight, so the index depends heavily on commodities and finance. Its points are in reais, so in dollars it also moves with the exchange rate.

Example

If the Ibovespa rises from 120,000 to 126,000 points, it rose 5% in reais. If the real lost 5% against the dollar in the same period, the index ended roughly flat in dollars.