Brazil: Markets Bullish on Rousseff Impeachment Proceedings

367 members of Brazil’s lower house of Congress voted Sunday to advance impeachment proceedings aimed at ousting Brazilian President Dilma Rousseff. That’s 25 more votes than the requisite two-thirds majority and may boost Brazil markets today. Camila Abdelmalack, the chief economist of brokerage at São Paulo-based CM Capital Markets, told Bloomberg, “On Monday assets will rise, but not in an extraordinary way. The impeachment win Sunday has already been priced in, however the victory was by much more votes than anticipated and this will certainly help on the general mood.”

The Senate is expected to vote early next month on whether to launch an impeachment trial against Rousseff. If a majority of senators vote in favor, they have 180 days to conduct the trial. During the hearings, Rousseff would be suspended and replaced by Vice President Michel Temer. If at the close of the trial a two-thirds majority votes in favor of impeachment, Rousseff will be out for good.