Brazil's plan to weaken its currency with a tax on foreigners' stock purchases has worked - with...

|By:, SA News Editor

Brazil's plan to weaken its currency with a tax on foreigners' stock purchases has worked - with a 3.1% decline in the real against the dollar - which strategists call a "dangerous" precedent and maybe a precursor to increasing the tax: “The government has had a surprising success in putting the fear in the carry-trade community.” (ETFs: EWZ, BZF)