Brazil's Treasury to Repurchase Bonds to Stabilize Market After Election

Brazil's National Treasury announced Tuesday it will repurchase NTN-B bonds maturing in 2030, 2035, 2040, and 2045, with auction details to be published on its website, following authorization from Finance Minister Dario Durigan. The move aims to counter market instability after President Luiz Inácio Lula da Silva's re-election victory, which Durigan attributed to temporary position adjustments. The Treasury also canceled the next LFT auction, and repurchased over R$14.8 billion in bonds on Monday. Durigan expressed confidence in market rationality returning, calling the fluctuations a natural response to the unexpected election outcome, while emphasizing the government's intervention was conditional on market conditions and necessity.