Petrobras, Eletrobras up on Bolsonaro win

RIO DE JANEIRO, October 9, 2018 – The stocks of Brazil’s state-owned energy giants Petrobras and Eletrobras were higher following Jair Bolsonaro’s victory in the first round of the country’s presidential election process, international media reported Monday.

Oil and gas giant Petrobras jumped 13%, while power company Eletrobras saw a 15% surge. Petrobras’ ratings were also raised by analysts at Bank of America Merrill Lynch and JP Morgan Chase.

A member of the far-right Social Liberal Party, Bolsanaro’s economic policies are seen to be more business friendly than those of his main rival, Fernando Haddad of the Workers Party.

Bolsanaro took 46% of the vote on Sunday, but failed to meet the 50% threshold required to win the election. A second vote on just Bolsanaro and Haddad will occur on October 28.

Read our latest insights on: