Brazilian markets react to election worries as investors reduce exposure

Brazil Markets: Ibovespa & the Real — August 12, 2026

Ibovespa fell 2.5% to 167,875 as JP Morgan warned of Brazil's fiscal fragility; Selic stays at 14% amid election-year uncertainty. Tech managers should expect budget cuts and hiring freezes in Brazilian firms; real weakness at 5.16/USD raises cloud and licensing costs.