The São Paulo skyline behind Ibirapuera Park, home to Brazil's financial markets. File photo. (Photo: Ibirapuera, CC BY 3.0, via Wikimedia Commons)

Brazil Markets · Stocks · Real

Published Thursday, 22 October, 8:00 p.m. ET · Source: B3 stock exchange closing data

Brazilian shares fell and the real weakened on Thursday as investors worldwide sold risk. The Ibovespa lost 1.15% to 204,120 points at the 5:00 p.m. Brasília close (4:00 p.m. ET), and the dollar rose 0.22% to R$5.038.

The drop followed a rough day on Wall Street, where the S&P 500 fell 1.2% and the Nasdaq about 2.6%, according to InfoMoney and CNN Brasil. Brazil also votes in four days, which kept buyers cautious.

See our guide to the real to dollar for what drives the pair.

What Moved the Market

The Ibovespa had closed at 206,495 points on Wednesday. On Thursday it traded between 203,052 and 206,493, and ended near the low.

Oil climbed on Middle East tensions, with Brent crude above US$110 a barrel, which revived inflation worries. Tech shares fell on renewed doubts about heavy artificial-intelligence spending, which pulled global stocks down.

Miners and Banks Lead Losses

• Vale (mining giant, VALE): down 3.97%.
• CSN and Usiminas (steelmakers): down 5.43% and 4.81%.
• Gerdau (steelmaker): down 3.92%.
• Bradesco (bank): down 2.08%. Itaú Unibanco (ITUB) lost 1.84%.
• Petrobras (state oil company, PBR): up 0.14%, helped by oil.

Traders at the São Paulo stock exchange. File photo. (Photo: Rafael Matsunaga, Creative Commons, via Flickr)

Election Nerves Before the Runoff

Voters choose on Sunday, 25 October between Flávio Bolsonaro, a conservative senator and son of former president Jair Bolsonaro, and President Luiz Inácio Lula da Silva. A Quaest poll gave Bolsonaro 45% and Lula 44%, a gap inside the margin of error.

Investors tend to hedge ahead of close votes, which can lift the dollar and lower local stocks. Our Brazil’s economy overview covers the backdrop, and our election desk tracks the result.

What It Means for US Readers

The iShares MSCI Brazil ETF (EWZ) closed at US$41.85, down 1.6% from US$42.51. Dollar holders of Brazilian shares lost twice: once on prices and once on a weaker real.

Visitors paying in dollars get slightly more reais for each dollar, but swings may continue through the vote. Expats who are paid in reais saw their pay buy slightly less in dollar terms.

What Is Not Known

It is not clear whether the selloff continues once Wall Street reopens on Friday. The runoff result, expected on Sunday evening, will set the next move for the real; the next Brazilian inflation reading, the mid-month IPCA, is due Friday, 23 October.

Sources

InfoMoney, Ibovespa close · CNN Brasil, market summary · B3, Ibovespa · Polymarket, Brazil election · TSE, electoral court

This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief

Frequently Asked Questions

Why did Brazil’s stock market fall on 22 October?

Global risk aversion hit first, with the S&P 500 down 1.2% and the Nasdaq about 2.6%. Caution before the 25 October presidential runoff and weaker mining and bank shares added to the drop.

How much did the Ibovespa fall?

The Ibovespa lost 1.15% to 204,120 points on Thursday, 22 October 2026. It had closed at 206,495 points the day before.

What is the dollar-to-real rate after the selloff?

The dollar closed at R$5.038, up 0.22%, so one real bought about US$0.1985. Brazilian assets often weaken when investors worldwide cut risk.

When is Brazil’s presidential runoff?

Voters choose between Flávio Bolsonaro and President Lula on Sunday, 25 October 2026. The electoral court, the TSE, publishes the official results.