A Brazil ETF Plunged 38%. They Bought. copertina

A Brazil ETF Plunged 38%. They Bought.

A Brazil ETF Plunged 38%. They Bought.

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October 26, 2026 - A political shock sends investors scrambling out of Brazil. Zach Abraham and Chase Taylor see a reason to start buying. Chase describes adding a small position in a Brazilian small-cap ETF that fell as much as 38% intraday before closing down roughly 31.6%—and explains why he thinks the selling went further than the underlying businesses justified.

Their argument isn’t that Brazil’s problems disappeared. High interest rates, government deficits and political uncertainty remain real obstacles. The question is whether investors had priced in too much optimism before the election—and then swung too far toward pessimism afterward.

That same search for indiscriminate selling leads them to software stocks, including Adobe, DocuSign and Toast. They discuss how the AI trade could keep pressuring the sector, why company fundamentals still matter, and how stock charts can reveal a turn before the business story becomes obvious.

Plus, conflicting signals from the oil market, the approaching U.S. midterms, and why Zach would consider buying an election-driven selloff if the economy’s biggest spending engines remain intact.

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