Brazil’s farming sector is contending with defaults at record levels, and last week’s election results have further dampened hopes of a quick recovery for one of the country’s major economic forces.
President Luiz Inácio Lula da Silva’s surprise victory was a setback for big agriculture, which viewed right-wing challenger Flávio Bolsonaro as a closer ally. The election outcome adds to pressure on an industry already facing rising input costs and double-digit interest rates, with little relief in sight.
Sources: Bloomberg Markets.