• TRM (USD/COP)COP 3,235.59 +1.65% +COP 52.60Colombia's official exchange rate (Financial Superintendence), valid Nov 4 to Nov 4
  • EuroCOP 3,617.08 +1.72% +COP 61.02Reference: TRM crossed with the European Central Bank rate of Nov 3; not the market quote
  • Mexican pesoCOP 173.98 +3.35% +COP 5.64Reference: TRM crossed with the European Central Bank rate of Nov 3; not the market quote

Brazil ahead of the runoff: three scenarios for the real and the Ibovespa

FinanceInternationalXTB.com45 s readAI summary
Image: XTB.com

Brazil heads into the October 25 presidential runoff with the race practically tied: Flávio Bolsonaro won 47.03% of valid votes in the first round versus 45.16% for Luiz Inácio Lula da Silva. The one-month real risk reversal rose to 9%, its highest level since 2011. After the first round, the Ibovespa gained 7.7% and the real appreciated 4.8%. The analysis outlines three scenarios: a Bolsonaro win with a credible fiscal plan, a Lula win with a strong fiscal signal, or fiscal disappointment under either candidate.

In 45 seconds

  • Bolsonaro took 47.03% and Lula 45.16% of valid votes in the first round, according to the official count.
  • The one-month real risk reversal reached 9%, its highest since 2011, on greater demand for hedging.
  • In the first session after the first round the Ibovespa rose 7.7% and the real appreciated 4.8%, versus historical medians of 3.1% and 1.8%.
Read the full story at XTB.com

IASummary generated by artificial intelligence from a story by XTB.com. It may contain errors: the original source prevails.

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