Lula meets finance and planning ministers after market rout on reelection

Brazilian President Luiz Inácio Lula da Silva met with Finance Minister Dario Durigan and Planning Minister Bruno Moretti on Monday evening following a sharp market reaction to his reelection, with the dollar surging 8.2% to R$5.40 and the stock market plunging 13.88%. The Treasury intervened by repurchasing R$7.067 billion in fixed-rate bonds and R$7.7 billion in inflation-linked securities, while the Central Bank injected US$3.75 billion into the currency futures market through swap auctions. Durigan said the actions aim to restore market normality and coordinate with central bank chief Gabriel Galípolo. Lula also met with congressional leaders Hugo Motta and Davi Alcolumbre, and spoke by phone with Mexican President Claudia Sheinbaum. The market selloff followed Lula's unexpected victory over right-wing candidate Flávio Bolsonaro, marking the biggest daily stock drop since March 2020.