Brazil’s real dropped the most among major currencies as allegations that Grupo BTG Pactual SA bribed a prominent lawmaker added to political tension and threatened to sidetrack President Dilma Rousseff’s economic agenda.
The real declined 0.5 percent to 3.8664 per dollar at 9:55 a.m. in Sao Paulo, the worst performer among 16 major currencies tracked by Bloomberg. One-month implied volatility rose to 20.8 percent, the highest since October. The currency is down 31 percent this year on concern the government won’t be able to to ward off credit-rating cuts as the country is stuck in the middle of its longest recession since the 1930s.
Brazil Energy Insight 
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