Brasilia — Brazil’s supreme court gave the green light for a probe into allegations that Preisdent Jair Bolsonaro tried to interfere with police investigations, adding to his difficulties as the wheels come off Latin America’s biggest economy and his cabinet threatens to implode.

Brazilian bonds and the real dropped after Monday’s court decision, which presents Bolsonaro with his deepest political crisis to date. He could face criminal charges and even potential removal from office in the longer term if found guilty of wrongdoing...

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