Brazilian stocks tumble as real nosedives again against dollar

Brazilian stocks tumbled along with the country's currency yesterday as tensions rose between the federal government and states…

Brazilian stocks tumbled along with the country's currency yesterday as tensions rose between the federal government and states. The country's main stock indicator, the Bovespa, was down 353 points or 4.59 per cent at 7,321 points at the close of trading. The real, trading freely since last week, tumbled to a rate of 1.75 to the dollar, a sharp drop from 1.59 to the dollar Wednesday and nearly 40 percent off its level of a week ago. Investors are nervous because of the dollar outflows and other market uncertainties.