Paula Sambo – Bloomberg, 04/11/2016
Brazil’s real advanced on growing speculation the ouster of President Dilma Rousseff is drawing closer as Congress prepared for key votes on the process this week.
Brazil’s currency, the most volatile in emerging markets as traders try to gauge the outlook for a complicated impeachment effort, gained 0.5 percent to 3.5742 per dollar at 9:21 a.m. in Sao Paulo. The real was the world’s best performing currency in the first quarter on wagers that bringing in a new government will help pull Brazil out of its worst recession in a century and shore up a record fiscal deficit.
Newspaper O Estado de S.Paulo reported more lawmakers are in favor of removing Rousseff as a special committee in the lower house was scheduled to vote Monday on whether to move forward with the impeachment request. The full house could vote as early as April 17, either squelching impeachment or setting the stage for Rousseff’s ouster in the Senate. The real tumbled last year as Brazil lost its coveted investment-grade status and a sweeping corruption scandal hit businesses and the government.