Ibovespa Extends Post-Rally Pullback, Down 0.74% on Profit-Taking and Global Risk Aversion

Brazil's Ibovespa fell 0.74% to 204,302 points, extending profit-taking after Monday's near-8% surge driven by optimism over a more right-leaning Congress and potential economic policy shift. The decline was amplified by renewed global risk aversion as long-term U.S. Treasury yields rose, pressuring U.S. equities and spilling over to Brazil. The pullback is a routine correction after a sharp rally, with the index still near record highs.