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Brazil first-round: Bolsonaro ahead, markets eye fiscal adjustment, uncertainty
Valor Econômico·BR·about 3 hours ago
Brazilian markets open Monday with a poll showing Flávio ahead of Lula, a political development that could shift risk sentiment. Investors will also watch PMI data and the Focus Report for economic signals. The political lead may support risk-on positioning if it implies a more market-friendly policy outlook.
Flávio Bolsonaro, son of former President Jair Bolsonaro, leads incumbent Luiz Inácio Lula da Silva in Brazil's presidential runoff, scheduled for October 25. Bolsonaro secured 47% in the first round to Lula's 45%, with polls indicating a competitive race. The election is occurring amidst alleged US pressure and concerns from the EU regarding potential impacts on Mercosur trade relations.