Brokerage Mirae Asset has made changes to its recommended stock portfolio for May. The shares of steel companies Usiminas (USIM5) and CSN (CSNA3), Banco Itaú (ITUB4) and the owner of the Ipiranga gas stations, Ultrapar Participações (UGPA3) were sold.
See below which stocks entered the portfolio and what the brokerage expects for the stock exchange in May.
The portfolio included the shares of shopping center manager Multiplan (MULT3), transport company Randon (RAPT4), paper manufacturer Suzano (SUZB3) and Banco do Brasil (BBAS3).
Mirae’s recommended portfolio accumulates a drop of 3.9% in the year. According to the broker, the negative performance is due to the ups and downs that took over the global stock market. In the year, however, the Ibovespa, the main index of the Brazilian stock exchange, still accumulates a high of 2.9%, despite recent falls. In April, the index dropped 10.1%.
“The beginning of an outflow of resources from foreign investors weighed on the Ibovespa. In addition, the index remained hostage to uncertainties about the government’s fiscal risk,” said the broker.
For the month of May, Mirae says it believes in a big ups and downs in the stock market. Therefore, it chose stocks that are less affected by the swing.
The strong upward movement in commodity prices, mainly oil, cellulose, iron ore and meat, tends to continue in May.
