Real Madrid gave Ancelotti a new contract until 2026. This means that Real Madrid still really needs Ancelotti's manpower. This means that the speculation regarding Ancelotti and Brazil is over.
I actually thought this was going to be Carlo Ancelotti's last season in charge of Real Madrid, but it isn't going to be as Carlo has extended his contract at Real Madrid until 2026, i'm pretty sure this news came as a surprise to quite a lot of football fans as we expected Ancelotti to join the Brazillian national team after this season.
Having said that, it is good for Real Madrid that they can continue building with the manager they've had for sometime now, Carlo knows how to get results and there's no doubt that Madrid would enjoy more success with him still in charge.