The Brazilian Bovespa stock index is up 19 percent this year, making it the best performing stock market in the world. Brazil's real, the worst performing currency in 2015, is up nearly 10 percent this year.
Brazil is battling its worst economic recession in 25 years, and investors are betting that an impeachment of Rousseff will change Brazil's trajectory.
On Tuesday, a key political development suggested to many that Rousseff's impeachment could happen in 2016. Brazil's largest political party, the Brazilian Democratic Movement party, which played a key role in getting Rousseff re-elected, voted to break away from her government. While yesterday's vote was not unexpected, Eurasia Group research analyst Cameron Combs says the speed at which it happened was very surprising. "The vote took only three minutes," said Combs.