RIO DE JANEIRO—Every year, Leandro Castro and his team of artists spend months crafting giant puppets that will bob and twirl their way through the streets of Olinda, a small colonial city in northeastern Brazil famed for its traditional Carnival, the dayslong party that takes place throughout the country starting this weekend.

The 12-foot-plus puppets depict celebrities like Michael Jackson, athletes like Pelé, and occasionally presidents.

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