Brazil runoff live updates: world leaders congratulate Lula on historic election win as Bolsonaro refuses to concede

The Guardian World reports: Brazil’s debt is dropping in value after Lula won a dramatic victory over his far-right opponent. Investors had anticipated that a Bolsonaro win would have led to a new push to rein in Brazil’s public debt, and may now be keen to sell Brazilian debt and the country’s currency, the real. Viktor Szabó, investment director for emerging market debt at Aberdeen Investments, explains why bond investors are nervous: Lula’s campaign did pledge fiscal consolidation, but at a slower pace than his rival and with the explicit condition that spending cuts should not fall on lower-income Brazilians.

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