Brazil · Story · Markets
Brazilian markets react to Lula and Bolsonaro election race
The Brazilian presidential race between Lula and Bolsonaro has led to market volatility and shifts in investor behavior as the election unfolds.
Running story — the local press covered it again on 27 October 2026.
The story so far as of 27 October 2026
On 27 September, investors began seeking safer assets due to the tight presidential race between Luiz Inácio Lula da Silva and Flávio Bolsonaro. On 13 October, the dollar rose 0.55% to R$ 5.013 as a poll showed Bolsonaro leading Lula. The Ibovespa fell 0.89% on 15 October, reacting to the Senate's approval of the end of the 6x1 workweek and ongoing election uncertainties. Lula won the election on 26 October, prompting a market correction as investors anticipated volatility. By 27 October, markets showed signs of stabilization, with the real appreciating against the dollar and the Bovespa index rising slightly.
Flare-up watch: Calm (0.7) · Active flag: Heightened vigilance for staff and travel · How this is judged → · All Brazil briefings →
Coverage, day by day
- Markets
Brazilian markets stabilize after election shock
Impact Currency traders and stock market investors see stabilization, with the real strengthening and the Bovespa index rising.
Sources: O Globo ↗, Folha de S.Paulo ↗
- Markets
Lula's election win triggers market correction
Impact Investors in Brazilian assets face increased volatility and potential losses as markets adjust to Lula's re-election.
Sources: O Globo ↗
- Markets
Brazilian Markets React to 6x1 Workweek Decision
Impact Investors face increased market volatility due to regulatory changes and election uncertainties.
Sources: Folha de S.Paulo ↗, Jornal de Brasília ↗
- Markets
Dollar rises as election poll favors Bolsonaro
Impact Importers face higher costs as the real depreciates against the dollar.
Sources: Folha de S.Paulo ↗, Jornal de Brasília ↗
- Markets
Investors seek safety amid Lula and Flávio election race
Impact Investors shift to safer assets, affecting demand for government bonds and CDBs.
Sources: Folha de S.Paulo ↗, Jornal de Brasília ↗
Sources in this story
Sources: each headline links to the original article on the publisher's site.