NEW YORK (TheStreet) -- Shares of Banco Bradesco  (BBD) - Get Report are climbing 4.99% to $7.99 in late-afternoon trading on Friday after Brazil's Acting President Michel Temer said the country hopes to cut the budget deficit next year. 

Banco Bradesco is an Osasco, Brazil-based bank.

Plans to reduce the budget deficit are seen as a positive development in the country's recovery plan after Brazil lost its investment-grade rating last year, Bloomberg reports.

The Ibovespa has risen 22% so far this year on optimism that the country's new government will regain investor trust.

"The market feels much more confident now," Paulo Henrique Amantea, an analyst at Guide Investimentos, told Bloomberg. "The trend for stocks is positive."

Image placeholder title