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Brazil Seeks ‘Currency War’ Recruits as Finance Chiefs Meet

South American finance officials, struggling to stop economic harm from a two-year decline of the U.S. dollar, will seek to agree on a coordinated response when they meet today in Lima.

The meeting comes as Latin America is bracing for another surge in foreign investment inflows, which have quadrupled since 2003, amid concern that recoveries in the U.S. and Europe are faltering and may force the Federal Reserve to begin another round of asset purchases. Policy makers are concerned a 25 percent rally in Latin American currencies since the end of 2008 is making its exports less competitive and hurting manufacturers by spurring a surge in cheaper imports.