Rare Subtropical Cyclone Near Brazil Coast
UPDATE WEDNESDAY:MetSul.com (you can translate automatically to English with Google Toolbar) is continuing to issue breaking weather updates with new satellite images. They are calling the system a Tropical Cyclone this morning while we are awaiting NOAA's update.
A subtropical cyclone, one of only 6 in recorded history, is affecting southeast Brazil today. There is some argument as to whether or not it has or will come on shore (see below) but it is causing high waves, winds and heavy rain. Below is a visible satellite from late this morning courtesy NOAA (alternate view):

Here is a high-res visible satellite shot from earlier this morning courtesy the Navy. The only buoy in the area is not transmitting wind or wave observations but the WaveWatch model indicates (see above) that waves are over 18 feet offshore and a foot onshore.

Metsul.com says (translation provided by Google Toolbar):
As MetSul points out above, this is nothing compared to the much-stronger Cyclone Catarina of 2004. You can see pictures of the waves on MetSul's site.
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