Despite a rally in Brazilian stocks on Monday, investors should stay away, Dennis Gartman said on CNBC.
Stocks and exchange-traded funds linked to Brazil traded higher after pro-market challenger Aécio Neves made a surprise election comeback against incumbent President Dilma Rousseff.
But Gartman, a commodities trader and the publisher of the widely followed Gartman Letter, wasn't banking on a win by Neves.
"He has no chance whatsoever to win the election," he said. "President Rousseff is going to win. She is a Marxist, a former guerilla. I'm sorry, ex-Marxists and former guerillas do not change their stripes."
Gartman said that he was wary of Rousseff.
"I'm fearful of this young lady being president again," he said. "She is going to, I think, move even farther left."
"I think the global economy is still going to be strong," he said, citing his oft-repeated advice to buy assets that would hurt if dropped on one's foot. "It's an old story of mine."
"Very simple ideas—I want to buy steel. I want to buy rails. I want to buy aluminum," he said. "It's time to start looking at owning those very simple ideas. So, Alcoa and big steel are my ideas again for the first time in a while."