# Brazil Real Hedging Costs Hit Highest Since 2011 Ahead of Runoff By Enna Lee Canonical URL: https://www.tokenpost.com/news/investing/38882 Published: 2026-10-23T10:22:47.000Z Updated: 2026-10-23T10:22:47.000Z Section: Investing > Recent polls show President Luiz Inácio Lula da Silva and Sen. Flávio Bolsonaro with nearly equal support before the Oct. 25 vote. Hedging costs for exposure to Brazil’s real have climbed to their highest level since 2011, as one-month risk reversals rose ahead of a closely contested presidential runoff on Sunday, Oct. 25. President Luiz Inácio Lula da Silva is facing Sen. Flávio Bolsonaro in the runoff. Recent polls show nearly equal support for the candidates, while concerns about political instability have increased demand for hedging instruments. The higher costs may reflect expectations of volatility in response to the election outcome. The development adds to market activity around the race; Goldman Sachs’ Brazil desk saw [record trading after Bolsonaro’s first-round lead](). The runoff is scheduled for Sunday, Oct. 25. ## Links in this article - [record trading after Bolsonaro’s first-round lead](https://www.tokenpost.com/news/investing/31454)