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Oil Sinks Over 4% as Geopolitical Risk Recedes, Stocks Rise and Brazil’s Ibovespa Hits Record

Conciliatory U.S. signals on Iran prompted investors to unwind safety trades.

Overview

  • Brent fell 4.15% to $63.76 and WTI dropped 4.56% to $59.19 after President Trump softened rhetoric on Iran, stripping out a recent risk premium.
  • Gold futures eased 0.26% to $4,623.70 per troy ounce as haven demand cooled, while silver pared steep intraday losses.
  • U.S. equities closed higher (Dow +0.60%, S&P 500 +0.26%, Nasdaq +0.25%) helped by reduced geopolitical worries and upbeat bank and chip earnings.
  • Brazil’s Ibovespa set a second straight record close at 165,568 points as the real recovered, with the dollar slipping 0.62% to R$5.3680 after touching R$5.4045 intraday.
  • Stronger Brazilian activity data (retail sales +1.0% in November; IBC‑Br +0.7%) lifted interest‑rate futures and lowered near‑term odds of Selic cuts, as the central bank also ordered the extrajudicial liquidation of CBSF (ex‑Reag) for serious rule violations.