Brazilian stocks will bounce back in 2023

Brazil's Ibovespa stockmarket index has fallen by 9% since it peaked in April. But with an election in 2023 and current president Jair Bolsonaro on course to lose, Brazilian stocks could bounce back.

Jair Bolsonaro on a horse
President Jair Bolsonaro: the “Trump of the Tropics”
(Image credit: © Alisson Demetrio/Getty Images)

In Sao Paulo, “there is a constant, oppressive hum over the skyscrapers”, says Bruno Meyerfeld in Le Monde, as Brazil’s financial elite use helicopters to get to work.

In 2018 these “one-percenters” overwhelmingly backed Jair Bolsonaro to be Brazil’s president. Now many are disillusioned. Apart from pension reform in 2019, “no major law has been passed”, says Pedro Wongtschowski, chairman of oil and gas distribution giant Ultrapar. Bolsonaro’s endless “outrages and the ransacking of the Amazon” have “ruined Brazil’s image and closed many markets to us”, he says.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
Explore More
Markets editor

Alex is an investment writer who has been contributing to MoneyWeek since 2015. He has been the magazine’s markets editor since 2019. 

Alex has a passion for demystifying the often arcane world of finance for a general readership. While financial media tends to focus compulsively on the latest trend, the best opportunities can lie forgotten elsewhere. 

He is especially interested in European equities – where his fluent French helps him to cover the continent’s largest bourse – and emerging markets, where his experience living in Beijing, and conversational Chinese, prove useful. 

Hailing from Leeds, he studied Philosophy, Politics and Economics at the University of Oxford. He also holds a Master of Public Health from the University of Manchester.