Just when Brazil’s President Dilma Rousseff had started making progress in getting her political alliance to fall in line behindspending cuts, she faces fresh headwinds.
Pending testimony by the heads of Brazil’s largest construction companies on graft at state-run oil producer Petroleo Brasileiro SA threatens to drag the ruling Workers’ Party deeper into Brazil’s largest corruption scandal. The timing comes just as Rousseff’s popularity sinks to a new low.

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