Worries over U.S. economy knock Brazil stocks, real

SAO PAULO, Oct 2 (Reuters) - Brazil's stock market tumbled on Thursday and the currency fell past 2 per dollar for the first time in a year, as Wall Street struggled with downbeat data and concerns about the fate of a U.S. bank rescue plan.

Brazil's Bovespa index .BVSP tumbled 4.6 percent to 47,522.07 points after rising in the two previous sessions.

The real BRBY plunged almost 4 percent to 2 per dollar from 1.925 on Wednesday, a threshold it hasn't crossed since Aug. 29, 2007. The dollar reached a 13-month high against a basket of major currencies .DXY.

A global credit crisis has rattled financial markets, threatening industry and jobs worldwide and putting pressure on the U.S. Congress to approve a $700 billion bailout for the U.S. financial sector.

Zeina Latif, economist at ING, said investors believed the bailout plan would be approved but would not have dramatic consequences.

"Approve and life continues, don't approve and the crisis deepens," she said.

"The market will lack price reference for a good amount of time and this means high volatility."

Among the bigger losers, commodity stocks fell along with oil and metal prices. Investors are worried a slowing global economy will weaken demand for metals and oil from top consumers -- a prospect which has overshadowed trade for oil giant (PETR4.SA: Quote, Profile, Research) and miner Vale (VALE5.SA: Quote, Profile, Research).

Vale was down 6.4 percent at 30.61 reais, while state-run Petrobras fell 4.6 percent to 33.26 reais.