Telefónica plummets 8% on the stock market after Lula's victory in Brazil and Santander loses 5%

The Spanish stock market opens lower due to significant losses in major companies like Telefónica, Banco Santander, and Mapfre, attributed to their exposure to Brazil. Following Luiz Inácio Lula da Silva's electoral victory, Telefónica's shares dropped 8%, while Banco Santander and Mapfre fell by 5% and 2.6%, respectively. Brazil is crucial for these firms, with Telefónica generating €5.195 billion in revenue there, making it its second-largest market. Analysts note that the market had anticipated a win for the far-right candidate Flávio Bolsonaro, leading to the current downturn. The situation is complicated by Bolsonaro's claims of contesting the election results.