Bovespa Index Drops Most in Three Weeks as Petrobras, OGX Tumble

The Bovespa index dropped the most in three weeks as Petroleo Brasileiro SA slid after Valor Economico reported the state-controlled company is losing money by offering natural gas below cost.

Petrobras contributed the most to the benchmark’s decline. OGX Petroleo & Gas Participacoes SA, billionaire Eike Batista’s oil company, followed crude lower. Consumer-products maker Hypermarcas SA rallied after a report that showed inflation was slower than forecast in December spurred speculation that the central bank will hold borrowing costs at record lows.