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Brazil States Relax Austerity Deal in Defeat to Temer

Governors of cash-strapped Brazilian states on Thursday got President Michel Temer to bow to their demands to relax tough austerity measures, throwing the country's pledges to rebalance its depleted accounts further into doubt. Disagreements between the federal and state governments over the austerity deal to assuage their financial woes have raised fears of a full-blown crisis that could stoke a recession already threatening to stretch into a third year. Struggling to pay their...

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