translated from Spanish: Successor to Lula would not be the “cuckoo” that Brazilian investors fear

at the time, Lula calmed investors by adopting policies in favour of the market and designating a respected economic team which oversaw the rapid economic growth and made him a favorite of Wall Street. It is likely that Haddad, who on Tuesday officially replaced Lula as candidate of the workers party, try to follow a similar path; only that it will not be so easy.
Haddad, 55 academic and former Minister of education of Lula, got support in opinion polls this week and is now statistically tied in the lead, which prompted another liquidation of Brazilian assets. With the explicit support of Lula, you may have enough votes to get to a second round against Jair Bolsonaro, the exparacaidista of strong temperament that extended his lead in the polls after being stabbed by a fan during a campaign event made last week.
“Haddad is more pragmatic and less ideologue”, said James Gulbrandsen, Fund Manager based in Rio de Janeiro, who helps oversee $3,500 million in NCH Capital. There is a reasonable possibility of minimalist reforms “that keep Brazil out of default under a possible Government of Haddad”.
So far, proposals for Haddad have worried financial markets. Among them: public banks would return to offer cheap credit; Pro-market reforms implemented under the mandate of the current President Michel fear is revoked; and capital controls would be used to help stabilize the currency.
Hard speech Haddad frequently points to what he calls the oligopoly of Brazilian banks. “We have no more patience with these types, we have to give a blow to banks,” he said.
His supporters say it’s only a campaign speech, arguing that it has committed to Orthodox economic policies and is a pragmatist capable of achieving consensus among the parties. As Mayor of the largest city in the country, Haddad maintained a balance in finance, he promoted unpopular fare hikes for buses and earned a rating of investment grade.
“It is unfair to think Haddad as a financially irresponsible politician,” said Kiko Celeguim, also Haddad party and Mayor of Franco da Rocha, close to Sao Paulo city.
Then there is the question of if the party leaders would allow Haddad to search an economic agenda that is more favourable to the market, how to keep a stop constitutional spending or parts of the labour market reform implemented by the current administration of fear. As an intellectual middle class with degrees in economics, law and philosophy, Haddad is considered distant from the movements of the party, not a man of working-class base.
But Haddad was not the first choice of Lula to transfer the baton. Jacques Wagner, former Governor of Bay and Lula confidant for a long time, declined the challenge because of an ongoing corruption investigation against him, according to two senior party members who asked not to be identified.
It is not a puppet total control of Lula of the workers ‘ Party also raises the question of who is really in charge if Haddad WINS. Tarso Genro, veteran of the party which launched the career of Haddad won him the post of Minister of education of Lula, dismissed the idea that the former President can act as a puppeteer, managing the country behind bars.
“Haddad is not a placeholder; It is a successor with talent “, Genro told Bloomberg News.” Investors ask their compatibility with the market testing,”Buscaglia said. “In 2002, the real collapsed until Lula showed that it would not be an extremist. “It is necessary now, only that the tax urgency is much greater”.

Original source in Spanish