Two Months In, Brazil’s Temer Emerges as a Big Market Favorite

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Michel Temer may not have completely won over Brazilians since taking over as acting president in May, but he appears to be a big hit with investors.

Brazil’s benchmark equity index has now soared almost 60 percent in dollar terms this year, while overseas government bonds have returned 26 percent. Investors have poured into Brazil on optimism the 75-year-old career politician will be able to pull the economy out of its worst tailspin in more than a century. Brazil is taking advantage of the improved mood, selling $1.5 billion of global notes Thursday as borrowing costs fall.

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