Brasília — Three weeks after an explosive corruption scandal rocked Latin America’s largest nation, Brazilian President Michel Temer looks poised to hang on to power, albeit with his political capital severely depleted. The most immediate threat to Temer came to an end on Friday when the electoral court acquitted him of illegally financing his 2014 election campaign. A guilty verdict would have forced him to step down, throwing Brazil further into disarray. Following an initial sell-off markets have stood relatively still throughout the latest crisis, as investors struggle to gauge whether Temer is more of an asset or liability in passing crucial reforms through Congress this year. Even after new allegations of foul play by Temer’s government, the real gained 0.55% in early Monday trading. "It looks like he’ll survive but he’ll never fully recover the political capital he had," Thomaz Favaro, associate director for Brazil and the Southern Cone at Control Risks consultancy, said. "He...
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