The Brazilian Real lost ground against the U.S. dollar in European trading on Monday, as emerging-market currencies sank on hopes for Fed rate hike as early as next month.

Brazil's suspended President Dilma Rousseff is testifying before the lawmakers to defend allegations of fiscal mismanagement and corruption in an impeachment process that is widely expected to oust her from office.

The Brazilian Real declined to 3.2890 against the greenback, its weakest since August 3. On the downside, 3.4 is likely seen as the next support level for the Brazilian Real.

US Dollar vs BRL (FX:USDBRL)
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