Live Markets: BRAZIL ETF SOARS AFTER PRESIDENTIAL VOTE

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05/10/2026 11:39

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BRAZIL ETF SOARS AFTER PRESIDENTIAL VOTE
Brazil held the first round of its presidential election on Sunday and markets have made their feelings felt after right-wing Senator Flavio Bolsonaro took the lead, with a major iShares ETF tracking the country’s stocks soaring to its highest since 2020 in London trading.
Bolsonaro - the son of former President Jair Bolsonaro, who is serving a 27-year sentence for plotting a coup after losing the 2022 election - took 47% of the votes cast, beating polls, while President Luiz Inacio Lula da Silva took 45%. They will face each other in a second-round runoff.
The right-winger is seen as considerably more friendly to business, hence the jump in the equity ETF, which is likely to presage a broader rally on Monday. Swiss bank UBS said in a note: “We see significant upside (>40%) in equities & local debt if fiscal reform advances.”
Viktor Szabo, a fixed income investment director at Aberdeen, said: “Markets now expect Bolsonaro to win. The four eliminated candidates, who collectively secured around 8% of the vote, were mostly from the centre to centre-right, suggesting that vote migration should favour him.”
(Harry Robertson)
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EARLIER ON LIVE MARKETS: 
TACTICAL OPPORTUNITY IN EUROPE'S BANKS CLICK HERE
WHY (US) STOCKS CAN KEEP DEFYING YIELDS CLICK HERE
MUTED OPENING CLICK HERE
EUROPE BEFORE THE BELL: MIXED START, EYES ON THE BOND MARKET CLICK HERE
THE EURO HAS A FRANCE PROBLEM CLICK HERE