Something Big Is Brewing In Brazil: Volatility Just Hit Covid-Era Levels

Brazil: Calm and volatile

While Asian tech gets crushed, Brazilian equities are holding their ground. The election trade is heating up, the real is defying dollar strength, and falling rates could fuel another leg higher in domestic stocks. But beneath the calm, volatility is exploding to levels not seen since Covid, while the presidential race remains far from settled.

Can Brazil continue to defy the global selloff, or is the election about to deliver the next big volatility shock?