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Brazil ETF tumbles nearly 15% in Tokyo after Lula’s comeback runoff win

The Tokyo ETF move is an early and thin-volume signal, so the real test comes when Brazilian markets open, with the real, the local rates curve and the Bovespa likely to bear the brunt of any repricing. Goldman Sachs’ figures describe an extreme scenario rather than a base case, but they frame the scale of the potential move, with the long end of the curve and the currency most exposed.…

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