Brazil stocks jump

29 Apr, 2007

Brazil's stocks rose on Friday on the heels of US markets, while the nation's central bank intervened heavily in the currency market to curb a rally. The Bovespa index of the Sao Paulo Stock Exchange rose 0.33 percent to 49,229, near an all-time high of 49,675 hit on Wednesday.
At the stock market, iron ore miner CVRD rose 0.24 percent to 70.52 reais. The company on Friday said it plans to spend $3.2 billion to develop its Goro nickel project in New Caledonia. CVRD late on Thursday raised its 2007 investment plan by about $1 billion to $7.35 billion. State-controlled oil company Petrobras, the heaviest-weighted stock in the Bovespa index, fell 0.73 percent to 46.10 reais. Workers at the company threatened late on Thursday to go on a one-day strike next week to protest a long-delayed job promotion and salaries plan.
The real weakened 0.20 percent to 2.031 per US dollar as the central bank sold about $600 million of reverse swaps, which are linked to short-term interest rates and are designed to keep the real from gaining too much against the dollar. It is near a six-year high.

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