26-Oct-2026 12:38:28
Brazilian Assets Plunge as Lula Wins Fourth Presidential Term; Overseas ETF Falls 18%
Brazilian financial assets tumbled in overseas trading after President Luiz Inácio Lula da Silva won a fourth presidential term on October 25, defeating Flávio Bolsonaro. A US-listed Brazilian ETF fell around 18%, while a Brazilian stock-market ETF traded in Tokyo dropped nearly 15%. Investors had positioned for a Bolsonaro victory, anticipating tighter fiscal policies. Lula’s win renewed concerns over government spending, rising public debt and fiscal discipline.