The Ibovespa jumped 3.2% to close at 181,932 on Monday, as an abrupt turn toward diplomacy in the Middle East triggered a sharp rotation back into Brazilian risk assets. The move came after President Trump announced a five-day halt to planned military strikes on Iranian energy infrastructure, immediately easing the geopolitical risk premium. After several sessions overshadowed by stagflation concerns, the relief rally pushed bond yields lower and buoyed credit-sensitive sectors across the market. Major banks outperformed, with Banco Bradesco and Banco do Brasil each advancing more than 3.7%. Other index heavyweights also posted strong gains, including Embraer, which rose 6.6%, and Localiza Rent, which surged 9.5% amid improving domestic sentiment. Petrobras added a modest 0.7%, as broad-based market optimism offset the sharp decline in global oil prices.