Brazil Markets Tumble as Bolsonaro Pivots to Interventionism

  • President fired the CEO of state-run Petrobras late on Friday
  • Bolsonaro said he may make more changes, including in power

Jair Bolsonaro

Photographer: Evaristo Sa/AFP/Getty Images

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Brazilian markets plunged on Monday after President Jair Bolsonaro removed the head of state-controlled oil company, the latest sign that his government is rolling back market-friendly policy initiatives to shore up his sinking popularity.

Bolsonaro’s decision on Friday to replace the University of Chicago-educated economist at the helm of Petroleo Brasileiro SA after a feud over fuel prices surprised even his inner political circle, according to two government officials familiar with the episode.