Brazil’s Real Drops to Nine-Year Low Before Finance Appointment
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Brazil’s real fell to a nine-year low as investors awaited President Dilma Rousseff’s appointment of a new finance minister and escalating tension in Ukraine sank demand for higher-yielding assets.
The real declined 0.8 percent to 2.5888 per dollar at the close of trade in Sao Paulo, the weakest level since April 2005. Swap rates, a gauge of expectations for changes in borrowing costs, climbed 0.10 percentage point to 12.87 percent on the contract maturing in January 2017.