# Brazil Stocks, Currency Surge as Bolsonaro Takes Commanding Lead - Bloomberg

> Brazil's Ibovespa equity index jumped 4.1 percent, its biggest gain in two years, as the real strengthened to a two-month high. Petrobras shares rose more than 8 percent and bonds rallied alongside, as investors reacted to Jair Bolsonaro taking a commanding lead in the presidential race.

- Date: 2018-10-08 · published 2018-10-08T12:00:00.000Z
- Category: macro · region Brazil · magnitude low
- Page: https://feedsoft.ai/events/8763-brazil-stocks-currency-surge-as-bolsonaro-takes-commanding-lead-bloomberg
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md)

## Why it matters

Political outcomes favoring market-friendly policy strengthen the real, which makes Brazilian soy, corn and meal cheaper for foreign buyers and can pressure global feed prices. The effect on grain prices is indirect and modest.

## Read by commodity

- USDBRL: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| USDBRL | 2018-10-09 | 5 | -6.8% | -4.1 | The Ibovespa jumped 4.1% and the real hit a two-month high on Bolsonaro's commanding lead, a direct sentiment-driven capital inflow that strengthened BRL sharply. |
| USDBRL | 2018-10-09 | 1 | -3.8% | -3.8 | Bloomberg reports the real hit a two-month high as investors rallied on Bolsonaro's commanding lead, which matches the sharp BRL per USD drop (BRL strengthening) through sentiment and capital inflows. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2022-02-23 | [Brazil’s World-Beating Currency Rally Storms Past Key Level - Bloomberg](https://feedsoft.ai/events/42913-brazil-s-world-beating-currency-rally-storms-past-key-level-bloomberg.md) | +1.9% | -2.5% |
| USDBRL | 2018-10-08 | [Brazil's real, stocks rally on Bolsonaro win](https://feedsoft.ai/events/7665-brazil-s-real-stocks-rally-on-bolsonaro-win.md) | -4.1% | -4.3% |
| USDBRL | 2018-10-29 | [Bid on Brazil’s Bolsonaro \| articles \| ING THINK](https://feedsoft.ai/events/62739-bid-on-brazil-s-bolsonaro-articles-ing-think.md) | +0.7% | +6.1% |
| USDBRL | 2026-03-26 | [Brazil real expected to strengthen as commodities and carry support currency outlook - BofA By Investing.com](https://feedsoft.ai/events/20383-brazil-real-expected-to-strengthen-as-commodities-and-carry-support-currency.md) | -1.3% | -4.8% |
| USDBRL | 2019-12-05 | [Latin America’s Currencies Are Back From the Brink of Collapse - Bloomberg](https://feedsoft.ai/events/55825-latin-america-s-currencies-are-back-from-the-brink-of-collapse-bloomberg.md) | -1.7% | -3.6% |

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2018-10-08/brazil-markets-seen-rallying-after-bolsonaro-s-smashing-lead

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.