Analysts warn of a potential sharp selloff in Brazil’s stock market after incumbent President Luiz Inácio Lula da Silva won a historic fourth term, dashing hopes of a change in government amid mounting fiscal concerns.
Lula defeated right-wing Senator Flavio Bolsonaro, Brazil’s electoral court said on Sunday. This came as a surprise as the election results defied polls, precedent and global anti-incumbent sentiment. His opponent Bolsonaro, who is the eldest son of convicted former President Jair Bolsonaro, refused to accept his defeat and said he will ask for the result to be annulled due to a Sunday ruling from a Supreme Court justice that extended voting for two hours.
