Trump avoids supporting Flávio Bolsonaro, but questions the result of the elections in Brazil

American President Donald Trump avoided giving explicit support to Flávio Bolsonaro, but raised doubts about the result of the Brazilian election. According to Money Times, when questioned by a journalist on Wednesday (28), Trump declined to comment on the senator's statement and stated that the United States will not get involved in the dispute.

Trump said that the American government authorized Flávio's entry into the country, but that he had not spoken to the senator. In the same conversation, he stated, without providing evidence, that Sunday's elections (25) were “very strange” and that Flávio was treated unfairly.

Flávio arrived in Miami on Wednesday and released two versions of a letter. According to Money Times, in both cases the name “United States of Brazil” was changed to “Federative Republic of Brazil”, including on the coats of arms. In one version he says he is the “true elected president”, in the other, “leader of Brazil”.

According to Exame, Flávio was defeated by Lula by 4 million votes. The letter classifies the defeat as electoral fraud, but contains an inconsistency: it says that Lula was re-elected “last Sunday (28)” and, at the same time, mentions the election on Sunday (25). Exame also reports that Flávio accuses the Electoral Court of fraud without presenting evidence and questions the extension of voting hours, a measure requested by his own campaign.

The PL recognized Lula's victory, even though it had elected 121 federal deputies, 19 senators and 6 governors. In Vinicius Torres Freire's analysis, published by Times Brasil, Flávio's influence from the United States depends on the support of allies in Brazil. He points out the agribusiness leaders, the evangelical segment and the PL allies as groups to watch, while the letter promises to lead the opposition from abroad.

What changes for the investor

For those who invest in the stock market, dollars and interest, the central point is predictability. A defeat contested by the candidate himself, with a response from a foreign government, tends to increase political noise, and the market tends to follow this type of tension closely. The signs to observe are the reaction of institutions, the composition of Congress (where the PL elected 121 federal deputies and 19 senators) and the eventual mobilization of the allies mentioned in the analysis. For now, Flávio's challenge separates itself from the official position of the PL, which recognized the result. For the investor, the useful reading is to know whether the dispute remains in the legal and political field or whether it advances on the economic agenda, especially the issues of fiscal responsibility.

Automatically translated from Portuguese.