Late last week, former President Jair Bolsonaro formally endorsed his son, Flavio, as a presidential candidate to represent the right side of the political spectrum in Brazil's 2026 general election. Local FX, rates, equities and credit all sold off in response as markets were hoping Bolsonaro would endorse investor favorite Tarcisio de Freitas. Not endorsing Tarcisio is disappointing as Tarcisio has a technocratic track record and is well respected in Brazilian political circles, but Bolsonaro's influence over right-leaning voters and his good enough relationship with the powerful unaffiliated Brazilian political ... (full story)