Brazilian stock market plunges nearly 17% after Lula win
Executive Brief • Key Highlights
Fast factual intelligence distilled for busy investors, executives, and answer bots:
- ✓The Brazilian stock market fell nearly 17 percent at opening on Monday after Luiz Inácio Lula da Silva won the election.
- ✓This sharp drop triggered a 30-minute trading suspension.
- ✓The US dollar also got stronger against the real.
Story at a Glance
- Category
- BUSINESS
- Reported By
- Moneycontrol
- Reading Speed
- 1 Minute(s)
- Market Focus
- India Economy
The Brazilian stock market plummeted nearly 17 percent at opening on Monday, following the re-election of President Luiz Inácio Lula da Silva.
The leftist leader won 51.8 per cent of the vote to 48.2 per cent for his right-wing challenger Flavio Bolsonaro, the son of jailed ex-leader Jair Bolsonaro.
The sharp drop in the Ibovespa index triggered a 30-minute suspension of trading, while the US dollar surged 12 per cent against Brazil's currency, the real.
The decline activated a "circuit breaker" mechanism provided for "periods of sharp market decline", according to a statement.
Brazilian stocks had surged to record highs following Bolsonaro's first-round win earlier this month.
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