Brazilian Real Extends Fourth Monthly Decline as Deficit Widens

Brazil’s real extended its fourth straight monthly decline as part of a broad drop in emerging-market currencies after the government’s budget deficit widened in December to almost the widest since 2009.

The real fell 0.1 percent to 2.4128 per dollar at the close in Sao Paulo, extending its drop this month to 2.1 percent. Swap rates on contracts maturing in January 2015 declined three basis points, or 0.03 percentage point, to 11.60 percent, paring their increase in January to 102 basis points, still the biggest since the global financial crisis in 2008.