Brazil rate futures surge as Lula gains on Bolsonaro in Quaest poll

Brazilian interest rate futures rose sharply after a Quaest poll showed President Lula narrowing Senator Flávio Bolsonaro's lead in voting intentions, suggesting a stronger Lula candidacy. The market is repricing premiums after last week's rally, with the approval of a PEC to end the 6x1 work shift adding to fiscal concerns. The move reflects investor anxiety over Lula's potential re-election and its implications for fiscal policy.