Dollar rebounds to R$5.00 as post-election euphoria fades, external risk weighs

The Brazilian real gives back some of its recent gains as the dollar rises 0.53% to R$5.0020, reversing part of the drop seen after Sunday's elections. External risk aversion, driven by new attacks on vessels in the Strait of Hormuz and European fiscal concerns, supports broad dollar strength. The move signals a correction in the local currency's post-election rally, with uncertainty over the sustainability of the recent appreciation.