EWZ is trading at $32.45, down 23.80%, as Lula’s reelection overturned investor expectations of a Bolsonaro victory and prompted a sharp repricing of Brazilian assets.
- Investors had bid up stocks and the real on expectations of fiscal restraint and pro-business policies under Bolsonaro.
- Flávio Bolsonaro’s refusal to concede and push to annul the result added uncertainty.
- Brazil-focused shares and currency futures also sold off; the move appears Brazil-specific, not a broad U.S. market decline.