Brazilian equities rallied and the dollar weakened on Thursday following a disappointing US nonfarm payrolls report for June.
The US labor market added just 57,000 jobs, falling short of expectations and marking a significant deceleration from the robust 115,000 increase recorded in April.
The softer data has intensified market bets that the Federal Reserve will maintain a cautious stance on interest rates, providing immediate relief to risk assets in emerging markets.
The Ibovespa index posted gains as investors digested the labor data, while the US dollar index retreated against a basket of major currencies.
US Treasury yields also declined, reflecting the market's reassessment of the near-term interest rate path.
The shift in sentiment underscores the sensitivity of global markets to US labor data, particularly after the strong April print had previously fueled concerns about persistent inflationary pressures.