Brazilian ADRs rally as Bolsonaro's strong showing lifts sentiment

Petroleo Brasileiro SA Petrobras

05/10/2026 09:59

** US-listed shares of Brazilian firms rise premarket after right-wing Brazilian Senator Flavio Bolsonaro exceeded expectations in Sunday's first-round presidential vote 
** Bolsonaro had a slight lead over incumbent President Luiz Inacio Lula da Silva, and the two will now face each other in an October 25 runoff
** Senator is son of right-wing former President Jair Bolsonaro
** "(Bolsonaro's) stronger-than-expected performance and the rightward shift in Congress should support the Ibovespa (Brazil's stock benchmark) and put downward pressure on longer-term yields,"  said Andres Abadia, chief LatAm economist at Pantheon Macroeconomics
** State-run oil company Petrobras PBR.N jumps 10.4%, while Latin America's largest private-sector lender Itau Unibanco ITUB.N rises 11.2% 
** Lender Banco Bradesco BBD.N advances 10.8% and  planemaker Embraer ERJ.N adds 6.3%
** Shares of Brazilian e-commerce and fintech company MercadoLibre BBD.N and digital bank Nu Holdings NU.N gain 6.8% and 10.4%, respectively
** iShares MSCI Brazil ETF EWZ.P rises 11.6%
** Up to last close, Brazil's benchmark Bovespa index .BVSP gained more than 19% YTD

 (Reporting by Avinash P in Bengaluru)
 ((Avinash.P@thomsonreuters.com;))