Brazil's Ibovespa index declined by 0.7% on Tuesday, closing at 161,973. This marks a continuation of the previous session’s slight retreat, as the upward movement in major resource companies was not sufficient to counteract the widespread market downturn. Leading the losses were banking stocks, with significant declines in Bradesco, Banco do Brasil, and Santander, which dropped between 1.1% and 3.2%. This downturn was influenced by persistent expectations that the Central Bank will maintain its restrictive policy rate, impacting short-term credit opportunities. These banking losses overshadowed gains in the commodities sector, where Petrobras rose by 3.5% due to another increase in crude oil prices, and Vale went up by 1.1% following Capital World Investors' announcement of boosting its stake in the company to over 5%. In summary, the Ibovespa index faced pressure from strict financial conditions and sector rotation, which outweighed the support provided by the rising prices of resources.