Ibovespa has the biggest monthly drop since 2022 in October, after Lula’s re-election
Only 12 of the 76 Ibovespa shares closed the month positive, while the dollar rose 5.20% and closed at R$5.4443, according to Money Times and Exame.
BY THE X-TRADER NEWS NEWSROOM · REPORTING FROM MONEY TIMES · 3 MIN
The Ibovespa ended October with the worst monthly drop since June 2022, in a month dominated by the second round dispute. According to Money Times, the index fell 9.88% in the period and closed at 167,921.80 points, after a rising start to the month.
The trajectory went from maximum to fall. According to InfoMoney, the index renewed historic highs and surpassed 209,000 points before the turnaround, with increases driven by banks, retailers, construction companies and interest-sensitive companies. The reversal came after the election.
In the second round, held on Sunday (10/25), Lula obtained 51.79% of the valid votes, against 48.21% for Flávio Bolsonaro (PL). The difference exceeded 4.3 million votes, according to Money Times. InfoMoney records that the result confirmed Lula's re-election.
With the definition of the polls, InfoMoney reports an accelerated dismantling of the positions that had been set up during the campaign. The movement also appeared in the exchange rate: the dollar in cash rose 5.20% in the month and closed at R$5.4443, according to Money Times.
The fall was broad within the portfolio. According to Exame, only 12 of the 76 Ibovespa shares closed October positive, while 64 declined. Half of the shares lost more than 15% in the month, 51 fell more than 10% and 26 lost more than 20%. The comparison considers the closing date of September 30th and the price of October 30th.
Among the individual highlights, Vale (VALE3) was among the biggest risers on the Ibovespa on Friday (10/30), according to Money Times, even with a balance sheet for the third quarter of 2026 that the market considered weak. Pressure on iron ore weighed on the numbers, but cash generation was seen as resilient. The company held a conference call with investors on the same day.
What changes for the investor
For those who operate Nasdaq, interest rates and the dollar, the month leaves three signs: the effects of the electoral definition on the market mood, the strength of the exchange rate and the magnitude of the fall, which affected the majority of the portfolio and was not restricted to a few securities. In this environment, the reading of quarterly results and exposure to the dollar and interest rates gains weight. As an editorial line, The
Automatically translated from Portuguese.
