Brazil’s real declined for a fourth straight month amid increasing tension between President Dilma Rousseff and her party as a corruption probe gets closer to her administration, offsetting China’s efforts to boost its economy.
The currency dropped 0.4 percent to 4.0159 per U.S. dollar Monday, after advancing as much as 1.2 percent earlier. While one-week implied volatility for the real declined, it was still the second highest among major currencies after South Africa’s rand.
A corruption probe is getting closer to Rousseff after the strategist behind her electoral victories in 2010 and 2014 was arrested last week on accusations of using foreign bank accounts to allegedly receive illicit funds from offshore companies controlled by one of Brazil’s largest builders.
Brazil Energy Insight 
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