The Ibovespa fell 0.5% to close at 145,517 on Wednesday as weaker domestic activity and softer external demand trimmed risk appetite for Brazilian equities. Major banks were among top laggards with Banco do Brasil (-0.9%), Santander (-1.5%), Itausa (1.6%), and Bradesco (-2.1%) all tumbling after an Itau BBA report flagged rising agribusiness delinquencies in August. Petrobras fell 0.6% as oil benchmarks eased on expectations of a larger OPEC+ output increase and weaker demand from the US and Asia. By contrast, Vale rose 1.3% after reports that China’s centralized buyer curtailed purchases from BHP, redirecting some mill demand to other suppliers and supporting iron ore offtake. Meanwhile, S&P Global’s manufacturing PMI fell to 46.5 in September, the sharpest deterioration in 29 months, signalling weaker new orders, output and input buying. The US government shutdown, which clouds the US data calendar and the global growth outlook, further reduced flows into Brazilian risk assets.