Brazil’s 10-year government bond yield trimmed gains to hover around 15.19% in November after President Lula reassured markets on fiscal adjustment. Lula reiterated that his government is committed to fiscal responsibility while also considering social responsibility, amid pressure to announce adjustment measures and a drop in Brazilian assets after his late-October reelection. Investors remain focused on fiscal policy, especially the government’s commitment to controlling spending and public debt, which has risen significantly in recent years. Meanwhile, US nonfarm payrolls increased by 165,000 last month, topping all forecasts, and the unemployment rate edged lower. The stronger figures reinforced expectations that the Fed will maintain a restrictive stance. Higher-for-longer rates in advanced economies could also pressure the BCB to keep policy restrictive. The BCB held the Selic rate at 13.75% at its latest meeting, pausing its easing cycle.