Brazilian Stocks Plunge as Lula Victory Spurs Risk-Off Selloff

Brazilian equities and the real sold off sharply following Lula's presidential election win, with Nubank down 24%, Itaú 26%, and Petrobras 20% in premarket trading. The market reaction reflects investor concerns over Lula's fiscal and interventionist policies, though the magnitude of the move may be amplified by premarket thin liquidity. This signals a clear risk-off shift for Brazilian assets and potential spillover to broader emerging markets.

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