Brazil: Ibovespa Sinks on US Tariff Threat and US-Iran Tensions.

The Ibovespa fell more than 1.5% to trade below 171,500 on Wednesday as investors weighed escalating trade tensions with the US, fading hopes for a US-Iran peace deal, and weak domestic economic data. President Lula convened a cabinet meeting after Washington proposed additional tariffs on imports from 60 economies, including Brazil. Meanwhile, oil prices rose as renewed hostilities in the Persian Gulf reduced expectations for a near-term easing of geopolitical tensions. On the data front, Brazil's services sector nearly stagnated in May, with companies citing competitive pressures, financial constraints, and weak demand. Banks posted losses, with Bradesco down nearly 1.5%. Healthcare and utility stocks also underperformed, as Rede D'Or fell more than 2% and Axia shed over 2%. Vale lost more than 1.5% amid lower iron ore prices.