gabrielle elizondo joins us from th brazil. >> it's it is a historic day in brazil. they're breathing a huge sigh of relief that she was able to eke out this very narrow victory. now the opposition party here in brazil, they're clearly very disappointed. they came so close but they were not able to convince a nature margin of enough brazilians that he would be the right path for change. now dilma rousseff will have another four years. i can tell you that the international financial markets are not viewing her election positively. stock is down 12% today, and the sao paolo stock exchange, the biggest in south america, is down four points today. lots of challenges. i want to bring in a political analyst, tell me, first, what's going on with the markets and their reaction today to the re-election? >> the benchmark companies, many people are wondering about the second term. they are waiting for signals for them to say that the market can act more freely. >> now, she has to appoint a new finances minister as well. brazil's economy is based on agriculture and hopefully in

liberals in brazil. then there's ukraine, and tunisia was really, really interesting, very important. we'll have much more on that through the week, i'm sure. th us, too, from u.b.s., julian, they put him on his own separate floor to keep him separate in equities and drivetiffs. do you guys ever talk to each other at u.b.s., or is there like a chinese wall between you? >> all the time. in fact, -- >> how do you use strategy? >> they have two floors. >> how do you use mr. manuel's work in economics? >> one of the great things that's been driving the u.s. economy of late has been the wealth effect through equities, and so having had julian been so optimistic and i'd argue correct on the equity outlook has actually helped our forecast in consumer spending and household formation. >> let's recalibrate on a machine morning. can you still be long? can you still be optimistic given the elections and everything else we've seen? >> i think you can. i think when you look at this year, it's tempered realism, but st

so do you bet on brazil? tim is the bull, pete is the bear. >> hi, pete. >> there you go. >> you need two to come at me. >> weigh in now. 90 seconds on the clock. >> following the playbook, usually during contentious elections stocks sell off then they rally. brazil is down 24% since september 3rd. we know there's no growth, we know there's an inflation issue, but we also know that 10 1/2 times earnings and a 4.7% dividend brazil is trading cheap to itself. so again listen to what people thing around the street in terms of positioning. you talk to all the best guys, bank of america puts out a note that says people are underweight. the locals are short. and you have hedge funds that don't have to be there are out of this market. you have priced in 80% of a d l dilma victory. if you get a neves victory -- risk/reward, it's a no brainer. >> so tim talks about talking to the best people on the street. my phone hasn't been ringing off the hook and they haven't talked to me. brazil has a huge economic problem. yes,

more now from brazil. let's bring in bruce douglas. are people surprised at the results from the first round? >> yes. the opinion polls really did get it wrong until just a few days ago. marina silva was almost a certainty to be in this second round, but as we saw in -- but as we saw last night, she faded away at the last minute, and the center-right candidate stormed into the league. marina silva struggled to keep together her coalition of economic liberals, social conservatives, and progressives. in the final presidential debate, she was a little bit disappointing. it appears that neves'much more simple -- neves' much more simple message resilient -- resonated with brazilian voters. >> what's going to happen with campaigning? >> president dilma rousseff won in the north and the northeast, neves in the south and the southeast. they will be attempting to poach votes from each region. 21% of the vote was disappointing for marina silva but it is still a significant prize. both candidates will be doing their best to try to convince her su

let's turn to brazil.t appears the key to sustaining the country's stock rally is the candidate who lost on election day, silva. there are reports silva will be supporting the former senator who will be facing the president in the october 26 runoff. the blackrock senior portfolio more of a manager -- portfolio has the biggest holding that is brazil, and he joins me in studio. welcome to the show. thanks for your time. you and i were both watching the interview with carlos slim. what struck you about it? >> clearly, they had to do something. what was not spoken there is that other than mexico last week, everybody is talking about energy reform in the next run which will be the first round of auctions. clearly, mr. slim and his committees will have a play in that. dominantalready marketshare for telecom, but they will look to make money on the oil sector >> switching to brazil, you were discussing the election with bloomberg news last month to use that we are overweight because we are looking and continue to

thank you. >> polls have opened in brazil's presidential run-off. there has been a bitter, hotly con testified campaign and the outcome is anything but certain. voters are choosing between jism lma and a senator and former state governor. a latin american editor has more from brazil i can't. >> even buying and selling a coconut at this busy market is a chance to show allegiance. no opportunity is too trivial to no straight who's side you are on the most fiercely fought e lenthsz. the dual is between the incumbent worker's party, a former left wing guerilla tortured in the 1970s and the gravenldson of a famous politician who died the day before becoming brazil's first elected president after its military dictatorship. unlike her immensely popular predeshe issor who set the scene as the iron lady, a tough technoaccurate who nonetheless represents the political party and in the last 12 years dramatically reduced poverty through increased wages and social programs. >> nevis is the market's favorite. married to a famous model, he insists his image as a f

a period during which brazil's economy grew. but during her term inflation has soared, and so have corruption scandals linked to her political party. other opponent, the centrist former governor of brazil's third largest state ran on a ticket for change. vowing his market-friendly policies would modernize brazil without cutting social programs. but ultimately rousseff was able to convince enough of her countrymen that she's best for the economy. a daunting task. >> she has to give the middle class an opportunity to look to the future and see in her and bt th they want a brighter future for the middle class. >> it was by far the most aggressive and divisive campaign in history. although she won she knows that her countrymen have become more intolerant of corruption and demanding of politicians. as one analyst put it, before brazilians were happy to get new dentures. now they want broadband. >> now they'll be under more pressure to deliver. >> let's cross over to gabriel alazondo. he's joining us from the campaign headquarters of

you would pay roughly $40 in brazil. sellu.s. tries to there, they will get hit by a much higher price tag. businessesee enough moving back-and-forth across the borders. they tend to just try to operate on their own. that has not worked. >> we have a story on bloomberg.com. see a bigger credit downgrade. >> brazil is a country with so much hope. everybody is excited about the consumer class there because it's a western class culturally, very similar to us. a fairly educated population growing in terms of the education. they always seem to be this country of hope, but have not realized you have to climb the ladder along the way. at some point, investor's patients starts to run out. >> we are continuing our coverage all day long about cutting the cord. street smart coming up at the top of the hour. >> i'm in the middle of a move . i'm about to cut the cord myself. we will talk all about the transitions we are seeing in the media -- in media right now. >> thank you so much. coming up, a look ahead to yet another big week of earnings

coming up, more on brazil's presidential race.look at the next round of voting when we continue with our latin america report will stop -- latin america report. ♪ >> it is time for today's latin america or -- more on brazil's election results. the president will be facing a pro-business candidate in the october 26 runoff will stop -- runoff. he surged in the final week from number three. surprise second-place showing for him. what happened to the other --llenger bastion mark >> other challenger? x during the last week or two, we saw those numbers dropped dramatically. that may be due in large part to television attack ads from the incumbent president who realized she was the main challenger early october or late september. there were at talking about her being in collusion with the bank and the fact they would be giving authority to the central bank would mean ordinary brazilians losing food from the table. attacke quite critical ads and that seems to make a big difference for her showing. >> how have investors been reacting to th

interesting in brazil. jumped to second-place, edging out silva and forcing a runoff with the president. we knew there was going to be a runoff, but we did not expected to look like this. how do the fortunes change quite so quickly and what is the impact on to the second round? let's talk to the director of the brazil institute at king's college. how did he manage to pull that one off? >> it is a big surprise. we were talking about a different scenario in the second round. both candidates hit the president hard about contradictions in her profile. people have just wanted againsta useful vote the president. >> history dictates she is still likely to win in the second round, but the momentum is changing. >> the momentum is changing. marina's endorsement would give him another impetus. it has been a very unpredictable election up until now and many people are afraid to call this one in the second round. >> how does he play the second round? is it about change? makeed to move around and sure it happens? how doe

there's a market rout going on now in terms of brazil. if she is lee elected again, early next year, you might see some degree of confidence restored and her next government is still going to be negative. i think private sector reaction is exaggerated at the moment. >> brazil's been an interesting store. over the last 10 years, they lifted 40 million people out of poverty and into the middle class, but the economy was growing, the g.d.p. growth rate was 7.5% in 2010. this has slowed, growing slower than the u.s. now. does it matter who the new president is? we're not getting back up to seven or 7.5%. >> no, we are not. it was founded on high commodity crisis and expansion of credit. it's not that the current government has failed to stimulate the domestic demand, it was actually credit suspension. this is an economic growth period that was based on consumption, if you look at brazil's can assumption, it's very, very much out of proportion. it didn't help, i do think we are entering a period of slow growth. marina silver has promised macro

brazil is divided. the incumbent president campaigns nonstop in those working areas where her support is strongest. there can be no going back she says, urging voters not to abandon the gains of the last decade. this reflects wider brazil, a modern, developing nation with traditional problems. despite the growth of recent years and estimates that brazil could become the world's seventh largest economy, there is still rampant poverty. the cornerstone of the work of the last few years has been a generous welfare program. donna christina is one of 40 million brazilians who have been lifted out of extreme poverty thanks to the program. life in the rural area is still simple but she has become a committed government supporter. >> before, we had a government that only gave us the scraps, the leftovers. today, we know what our rights are regarding education and health. we know what we are entitled to. >> the challenger is pushing all the way. he's says the president has driven the economy into recession. rags

: it's the tightest election brazil has seen for years.ncumbent president dilma rousseff campaigning nonstop in working class areas where her support is strongest. there can be no going back, she says, urging voters not to abandon the gains of the last decade. nowhere is the presidential race tighter than in this city and the state where brazil was dumped out of the world cup by germany. the political contest will be much closer than that painful 7-1 defeat. >> we have a divided country now. and one claims to be a more social policy oriented, which is dilma. the other party claims to be a more efficient management oriented. >> the state is a mirror image of wider brazil. in the poorer interior, donna christina is among the 40 million brazilians who have been lifted out of poverty thanks to the government's welfare programs. she has no intention of changing her vote. >> translator: before we had governments that only gave us the scraps, the leftovers. today we know what our rights are regarding education and health. we know what we're entit

elections worldwide including the tying presidential runoff in brazil. we'll have the latest. >> the u.s. flag comes down, american soldiers turn over the last base to the afghanistan military. >> new york city's mayor demands respect for the nurses, the hospital caring for the ebola patient frank spencer or else. >> victims of domestic abuse. hear how far too few break few of their abusers. >> great to have you with us. it is election day for millions crossed world, polls now closed in ukraine. exit polls suggest president poroshenko's party is leading the vote and parliamentary elections. in parts of the country where pro-russian separatists are in control, no votes are taking place. a very different election took place in tunisia where the arab spring began and has been most successful. they are voting for a new parliament, the first vote under a new constitution and second since the 2011 uprising. >> in brazil where the polls are just closing, it's a tightly contested presidential runoff. the incumbent is seeking a second term of four years. >> first

people are working in brazil. the other issue is she's really been the candidate to keep the social programmes, social welfare programs in brazil. benefitting people. those two factors, 41%, have gone out and voted. they are supporting her strongly. >>> a lot of international eyes on this. the u.s. and brazil had rocky relations after the spying allegations. has anything really changed? >> well, i can tell you in the last year or so since the revelations came out, that behind the scenes diplomatically there has been a lot of back door talks between the united states and brazil. i spoke to dilma rousseff a couple of months ago and asked her about this. she said she has been receiving calls in the past from vice president joe biden. the u.s. and dilma rousseff in brazil want to work out a better relations between the two countries. it's in both countries. as far as this election is concerned. whether it be dilma rousseff elected on october 26th, both have said they want good relations with the u.s. days of cancellin

there's no doubt about it that immigrants arifing here in brazil get a -- arriving here in brazil get much better prospect than other countries. for now brazil says it can cope. >> they come here looking for work, and there's always been work for them. they will accept the jobs brazilians don't want. word has spread and for the migrant it's like a kind of el dorado. >> there are some tensions between the different nationalities but conditions are better than the other my grant camps have seen. as -- migrant camps have seen. as the day progresses, people are anxiously hoping for one thing. brazilian work permits, dozens of them. less than two weeks after arriving, these haitian, dominican migrants now have extensive rights to live and work in brazil. few words but the smiles say it all. their names on the list confirming transport to the south seals the deal. discrimination and the slowing economy will present challenges, but new migrants still arrive and this will continue as long as brazil makes them feel welcomed. >> migrants finding for once a welcoming in brazil. when you think of

brazil's contest, vote that's just too close to call.anger on the streets of nigeria as locals insist there is no cease-fire with boca haram. stay with access. ♪ >> welcome back. top stories here on al jazeera. lebanon's army is stepping up efforts to drive gunmen from the north of the country. six soldiers and four civilians have died in two days of fighting in and around tripoli. tunisia is volting to elect a new parliament. it's one of the final stages in the country's four year political transition. in 2011, a popular uprising toppled former leader zin zina benali. ukraine's president made a surprise visit to the eastern city of krematosk. pet two poroshenko spoke to soldiers there and visited a polling station. in the last hour, polls have opened in brazil's presidential run-off. now, it's been a bitter campaign and the outcome is anything but certain. incumbent president dilma rousseff has just cast a vote. she is up against neves, a senator and former state governor. louis e a newman has more from the capital, brazil i can't. >> b

voting is mandatory in brazil for those aged between 18 and 70.zilian president dilma rousseff didn't get enough votes to avoid a runoff. she got 41% of the vote. neves got 34% of the vote, which gives him a place in the runoff. but the environmentalist marina silva, who was expected to make it through, managed to secure only 21% of the vote. she has now been eliminated. >> reporter: celebrating victory, but dilma rousseff fell somewhere short of the 50% she needed to stay in power for another four years. she may dismiss her rivals as ghosts from the past, but this election is far from over. brazilians take their civic duty seriously. this was only the seventh time people here have voted in a democratic election since the end of military rule. the last 12 years, they've been given by the leftist record party. it has a strong record on generous welfare policies but has also been accused of driving the chi towareconomy towards vi. do you think it's the economy? violence? >> security issue is always an issue in brazil, but the economic issue right no

the official results in brazil's elections are in. president del m delma rue 7ma m. >> i have this hope that all this energy to moibles the mobia for us to build bridges. >> lucia newman has the story. >> no one would accuse her of being charismatic. delma rousseff, tortured during brazil military dictatorship. five years ago, she was treated for cancer. it was his energy minister and chief of staff that rousseff was first nicknamed as brazil's iron lady, a technocrat. in the world's second largest emerging economy. but while her worker's party is credited with taking 40 millionburyians out of poverty and into the middle class, president rousseff has been able to maintain the economic growth and although she was tough on corruption in the last two years she has been unable to shake a series of multibillion dollar bribery scandals, one involves the brazil giant oil company, petrobras. defending the interests of the poor and meld class. she has promised to punish those guilty of corruption. as brazilians proved last year during a wave o

and it's victory in brazil's presidential run off. what can we expect from her second term? welcome to public television in america and also around the globe. the last british combat troops and u.s. marines have left afghanistan's helmand province and are heading home. it comes after a handover to local forces and marks the end of britain's operation, which has taken more than 13 years and cost over 450 british lives. the u.s. combat mission also ends this year, with nearly 10,000 forces staying behind for training and support functions. the bbc's defense correspondent reports. >> the british troops, this would be their final mission in years. at's lasted 13 and at night the first of the last prepared to leave forever. at dawn those still guarding the camp left their watch towers, handing over to the afghans these, the men who have to continue to fight alone against the taliban. overhead, armed tornado jets kept lookout for dangers, making sure the last were safely onboard. there was one last look for the last man out, carrying with him the union flag. today helmand became h

in brazil, broadcast time won't shoot up a price tag. because in brazil, you don't buy tv ads.et for free. >> instead, the financial focus is on hiring the hottest talent from the media to produce some lavish tv spots. >> 10 minutes per day, it is like a soap opera. you have a lot of people, a lot of travel, a lot of helicopters. >> in brazil's biggest cities, old-fashioned door-to-door campaigning does still matter. that is because there is no electoral college system. every vote carries equal weight. city swing voter in every costs money, but could ultimately count. sao paulo, brazil. >> let's go back to mark mobius. wins the election in brazil is going to have to deliver some pretty bad news to the country. this is a country that is in recession. business confidence at a five-year low. what investment opportunities are there? >> again, very similar to other parts of the world. the banks are particularly interesting in brazil. resilientshown to be to hard times in the past. we expect the banks to do fairly well. we are a little suspect on the consumer companies in brazil. the

this is what brazil is about. here is the election. the collapse of brazil. lulairacle that was the brazilian string. this is the ugliness as we go into sunday. down.bringing inflation everyone expected lula to not be responsible and he was. what you see here is that the difference between parties. it has been the same party in power -- >> the individual. in the system a reset. we will cover this on "bloomberg surveillance." as i put out on twitter this morning, in my backyard, in all of our back yards this morning. >> ebola has come to new york. it was only a matter of time. the hospitals have been preparing, doing dry runs for something like this. now we know the details. this man came over after working in guinea and doctors without borders. he did not feel any kind of fever or fatigue until recently. he has been taking this chapter day. said they -- twice a >> we have been talking about this. brendan greeley, what was your inclination as you read of isolation? >> the key is to look at the difference between the way doctors without borders handled this, be

investors will be closely watching the markets in brazil.merc have been brutal catch the markets have been theal to rousseff -- >> markets have been brutal to rousseff in her first term. the first --e in in the smallest margin since the 1940's. we understand she will change the finance minister and that is one thing that people have been calling for. she is talk about dialogue with the opposition. looked like a bleak open to the brazilian market in just over two hours time. petro down more than 5% this morning. etf dow close to 7% this morning. the most since 2011. a lot of indicators that the market could fall by as much as 10%. and there the real, is more weakening of the real ahead. it could weaken to as much as two points is 5%. 65%.. some say the stock market index could be 56,000 which is up from 52,000 now. not a one-way trajectory. >> what do economists like about what she is doing? >> the good news is on unemployment and one of the reasons why she is so popular. below 5% now. real income has risen 6%. inflation is above the sill 45%

it's going to be 0.7% growth here in brazil.o the way she is able to keep her support is really two things. number 1 is unemployment here is very low, only 5%, so the vast majority of the people of brazil, even though the disney is going through a recession, they are still working. if you are the incumbent approximately, that helps you a lot. the other thing is inflation. >> that's been a problem in brazil, a little over 6%. it's about at the top of what the government wants. but it's still being contained by the government so a lot of brazilians are feeling a little bit of the recession but not as much as maybe neighboring argentina or venzuela. >> that's primarily why dilma has so much of her support. >> thank you very much indeed. gabriel elozonda in sao palo in brazil and laboring peru, many voting in regional and municipal elections. many of the candidates, though, are accused of crimes including corruption and drugs trafficking. march 18th a sanchez reports from the capitol limita alberto is running for provencial mayor, a

but it's still a very big gap between the two sides really in brazil.ou've got the wealthy and you've got a lot of people who are very much reliant on those social spending programs. >> absolutely. the haves and have nots. you mentioned some of the problems. recession. inflation that is higher than the country's target. the stock market's taking a pummelling. the currency is taking a pummelling. but everybody points to neves as being pro-business. i'm wondering what sort of track record does he have? >> he was the governor of the second most popular state until 2010. he's very pro-business. one of the things that's quite interesting, during the campaign, the issue of the central bank came up, which you wouldn't think was particularly interesting topic of conversation for a lot of voters, but the fact that the central bank isn't seen as being very independent, that actually there's not very much autonomy under the worker's party, that's one of the things that the candidates, aecio neves has said, it's important to have an independent central bank because

he said the struggle is going to be to unify brazil. is that going to be when you have a split as close as this? >> she said that the narrowest of margins can lead to the greatest the jury. i do not know if they are buying that. difference in wealth disparity, and that has really grown on her for the last four years and that is going to be heat for her to unify brazil and look at it from both sides. vote, closeness of the was that an indication of the social programs that were working? the impoverished of the country did receive help during her first four years. >> the wage gain under her and her predecessor were very strong. but we still have a situation where the economy is still in recession. >> businesses also had a difficult time under her. that is what you have seen with the voting split. >> one of the prospects for the coming coming up in 2015 -- what are the prospects for the economy in 2015? >> not great. half of what it grew under her first four years of government. inflation is already high, budget deficit is already high. th

back in power, reelected as brazil's president. biggest challenge now, how to unite a divided country. plus. >> reporter: i am rob mcbride in the west of china with the winemakers making a splash on the world stage. ♪ ♪ >>> think kurdish fight in kobane has repelled an overnight offensive by isil in some of the heaviest fighting the syrian town has seen to dade. it comes as kurdish forces from eye rash are expected to crash from to do ban i. despite u.s. air strikes which some helped kurdish fighters gain ground they are calling for reinforcements, our correspondent bernard smith is there near the border of turkey and syria, what's the latest on the fighting. well, elizabeth as you say it looks like last night saw some of the most intense fighting. there has been much of it focused on that border crossing. it's important, we think, because the suggestion is that isil want to control that border because they want to stop any potential reinforcements coming through, whether that would be iraqi peshmerga reinforcements or reinforcemen

brazil is at?ecently put out a way paper. -- a white paper and i called it the new brazil. brazil has changed a whole lot. i have been visiting the country for 20 years now. i just went on my seventh visit. years, 15% of the population on that basis has moved from poverty to the middle class. a livered,young household debt is around 19% of gbp versus 87% in the u.s. target penetration is about one/40 of what it is in the u.s.. you have structurally a different brazil than what investors were used to wear it was debt default, hyperinflation, high claimant. they've record low unemployment now. that is not going to continue unless there is investment and you're not going to get investment lets you get some reform. talks how can they have record low and implement given how bad >> how cangekko -- they have record low unemployment given how bad things are? >> there's a social safety net which helps. ofis a quasi-socialist type approach to governance. certainly effective exporters. record low unemployment

brazil's bit early contested runoff gets underway in a vote too close to call. >> won fair and square against tough, tough, tough competitions and we were very transparent all the way. >> reporter: we speak to the minister about the 2022 world cup and why the gulf state has an early reason to celebrate. ♪ well, lebanon army appears to be stepping up driving groups north of the country and gun battles in and around the city of tripoli killed six soldiers and four civilians and violence is a spill over of the civil war in syria which sunni fighters inspired by al-qaeda and i.s.i.l. crossing into lebanon. and it's not known exactly which group the gunmen belonged to or claim affiliation with but i.s.i.l. and al-qaeda-inspired fighters cross into lebanon to fight the shia armed group hezbollah and that is because hezbollah intervened in the civil war backing government forces loyal to bashar al-assad and it's preemptive strategy to stop rebels from crossing into lebanon and hezbollah has done that and stirred sectarian tensions within the country. let's now bring in

to elections in brazil now. president dilma rousseff drama thing to fight corruption. >> she was elected to her second term in office on sunday, but just barely. it took a second round vote and a last-minute push to beat her arrival. now she is calling for peace and unity. >> dilma rousseff has done it again. the head of the workers party will lead brazil for another four years. this time she won by a very narrow margin. >> brazil has at times lead to stronger and faster change then easy victories. it is my hope tomorrow rather my certainty that this will happen starting now. >> she did particularly well among the poor. her government and that of her predecessor expanded the social safety net and pulled millions out of poverty. >> dilma's victory means brazil for the workers, not just the rich people. the country has improved a lot over the last 12 years and now that will continue. >> her main challenger was an economist. he accused her in her party of corruption and economic mismanagement, but as the result bec

the official results in brazil's he elections are in. the incumbent president narrowly defeated her opponent in one of the toughest races in brazil's history. she called on all to come together and be unified. >> instead of broadening differences and creating a cliff between us, i have this hope that all this energy that mobilized the country has prepared the ground for us to build bridges. >> we saw speaking moments ago, the woman at the helm of one of the largest emerging economies. >> no one would ever accuse her of being charismatic. charm is not her fortÉ, but the newly reelected president is and has always been a fighter. as a member of a leftwing guerilla group, she was torture and empress no oned in the 1970's. five years ago, she fought to overcome cancer and became the successor of brazil's immensely leftwing president. it was as his energy minister and then chief of staff that she was nicknamed brazil's iron lady, a techno he contract who took most of the credit for a wave of stability and growing economy. while her worker's e

we begin with brazil. president dilma rousseff has been re-elected for a second term, after a tightly forced rate. we go to the capital. >> she is known not for her charisma, but her fighting spirit. in the end it gave dilma rousseff the edge she needed to overcome fierce potential, enough to win the second term as leader of the south american nation. >> i do not believe honestly from the bottom of my heart that these elections divided the country. they have been driven by a shared feeling, a search for the better future for our country. >> she was aligned with the west, she joined add -- joined a guerilla group in her youth. she was referred to as an iron lady, rising to prominence. a period in which brazil's economy grew and poverty shrank. the economy slifelled during her term, and so to corruption scandals ping linked to her -- linked to her parties. her opponent aecio neves ran on a ticket for change, saying that he would modernize brazil without cutting social programs. ultimately dilma rousseff conv

death penalty for the captain of a ferry disaster that killed hundreds of students and reelected and brazil's president have the biggest challenge now how to unite a divided country. >> rob mcbride in the west of china with wine makers making an splash on the world stage. ♪ kurdish fighters in cow -- kobani in heavy fighting to date and they will cross into kobani into turkey to join syrian kurdish fighters in the battle against isil that helped kurdish fighters gain ground and calling for reenforcement and we have this update near kobani on the turkey/syria border. >> reporter: sunday into monday saw heavy fighting been so far for kobani and most on the crossing and kurdish fighters in the town tell us isil fighters had a three-pronged assault in the area to prevent the passage through there that the kurds say they desperately need and reenforcements either including persmerga and reenforcements from the free syrian army and there were at least three air strike we are told by the kurds overnight and they made the difference and without them the kurds would be in a very different position and

. >> reporter: i have about a week-long road trip through small towns in brazil, gauging the mood ofers ahead of the presidential election. i am gabriel elizondo, in a city that is very much divided just like the rest of the country. ♪ ♪ >>> -y i didn'egypt's presidentd that they are facing terrorists. no one has taken responsibility for friday's attack that killed 31 soldiers. it was the deadliest attack on the egyptian military any years. now a report. >> reporter: laid to rest with full military honor. these soldiers were killed in one of the worst attacks against the egypt arm. a car bombing followed by gunfire on another post year the egyptian border with israel. president sisi has declared a three-month emergency. he says the fight against terrorism won't be over soon. >> translator: i am addressing all egyptians, be vigilant. a plot is being woven against all of us. all that is happening has been expected and we have raised these issues before. we and all egyptians must join force to his address this challenge. many have fallen and many are expected to fall. it is a huge war.

brazil now re-signs them.calling for president of brazil to quickly appoint a new finance minister from outside her party to show she is ready to scrap the policies that fueled inflation and slowed growth. a few years ago, people were bullish on brazil and many of them still are. but there are a lot of questions on whether she would just be more of the same with slower growth and record low unemployment but deal by inflation. >> and technically, they are currently in a recession. business confidence is worse but it's interesting that voting is mandatory. you have to vote so i wonder what the results would have been if it weren't. >> they legally are obliged to vote? not only in brazil but in many of these countries in south america. >> these people have seen their quality of life materially improve under rousseff. >> we will have to see but right now the markets are giving her a big thumbs down. >> unemployment is at a record low in brazil. the google ceo is number seven, larry page giving his top lieutenants

brazil without cutting government social programs.imately rousseff was able to convince enough of her countrymen she is best suited to reignite the economy, a daunting task. >> she has to give the middle class an opportunity to look to the future and see in her and see the most prepared ones to a brighter future for the middle class. >> reporter: it was by far the most aggressive and decisive electoral campaign in resent brazilian history and although president rousseff won she knows countrymen are tolerant of corruption and more demanding of their politicians, as one analyst put it they wanted dentures and now they want broadband and the economy will be under more pressure to deliver. i'm with al jazeera brasilia. >>> and to ukraine where prowestern parties set to from it parliament after a big election and the vote is a notch away from russia and this is where the former president yanukovich was and signs are ukraine's political landscape has been transformed and winning parties are promising sweeping changes. >> translator: i ask y

i have been reporting on brazil for a time.s as though for a while i was going down there every year and the story was consistently one of hope and promise, that this was to be the emerging market, that it could be the china of the western hemisphere. all this potential. unfortunately, it could never seem to get out of its own way. in ave really seen that very clear way. about was talking to us the structure. how important is that for the future? >> it is huge. think about the traffic alone. you would have to budget several hours to get to the airport, even if there were no traffic, you could get there in 20 minutes. traffic is a huge problem. getting from one place to another in brazil, basic stuff, huge problem. they do not have the roads. they just do not have the infrastructure in place. a lot of brazilians look at all the money going into the olympics or the world cup, and they say themselves, wait a second. couldn't that be sent on roads to help us with our own economics question mark can that help in terms of school to e

brazil has desperate levels of inequality. racism and corruption are rife.he fact that a mixed-race woman who grew up in this level of poverty could become the next president is testament to the progress made in recent years. >> if she wins she will have to protect the environment and promote development. she is more capable than doing it. silva has tapped into the growing public discontent undoubtedly. that culminated in last year's nationwide protests. this is the election to lose. overseeing progress at the limbic part, she intends to be in charge for the 2016 games. the conference of welfare programs have lifted tens of millions out of poverty. the critics say that high taxes and state-controls are pushing the country into recession. >> you are left with an economy that is overregulated and protected and has poor infrastructure and high taxes. >> the claims that life is improving for all brazilians rings hollow when you see this. violence back on the streets this week as the main road became a battleground between the army and drugs gangs. the president

we have the brazil election, the ukraine election. how closely will traders be watching the stress tests? >> definitely. i think late sunday trading here in the states as we get in to start the week is probably going to be more watched than ever, as least from what i've seen in quite some time. mixed results on all the different elections and, of course, what the ecb is looking at with these stress tests here in the states is going to be dominant. real quick here, one of the things that's important is this is counterproductive, but at the same time it's necessary because if we do see the stress tests are working and shows all kind of inadequacies, then the implementation and the rel lagzs are for a good reason. but at the same time, if everything passes perfectly, then how much do you want to start stimulating the economy again with liquidity? that's the question. >> and europe has been one of the reasons we've seen stocks move over the past couple of weeks. michael gurka, thank you for your time. >> and don't forget to join cnbc sund

but brazil's image and its economy have taken a battering. oil contracts were being auctioned off, there were accusations of corruption and mismanagement. the government was taken aback by the scale of protests as people demanded better services and a bigger slice of the economic cake. >> the kind of motors of growth of the last 15 years have run out, essentially. and you're left with an economy which is -- where the state controls too much or it is overregulated, which is protected, which has poor infrastructure, very high taxes, and there's not enough investment. >> reporter: president dilma rousseff has also been accused of spending far too much on big global events like the world cup and olympic games. but the president, standing for re-election has hit back, saying billions more are being spent on far-reaching social programs, focusing on nutrition, health, and education. elevating millions out of poverty and reaching every corner of the country. >> people are afraid of changing, and, you know, dilma's campaign is somehow threatened that

this is an historic election here in brazil. nationwide, there are 14,800 candidates running for varies offices, the biggest election in brazil's modern history, an election full of twists and turps, and comes -- turns, and comes down to less than two hours before the polls close and we'll get the initial results back. it's been unpredictable, in the last several weeks, dating back to august, when eduardo campos, a one-time candidate died in a plane crash, that threw the campaign into turmoil, and now we are where we are, here on the voting day in brazil. i want to talk more about this. i want to bring in a brazilian journalist. thank you for joining me, has this been the most unpredictable election in recent memory. >> most definitely, since 1989. we don't know if it will end today. it's very exciting. >> and tight down the end, isn't it. >> there is. there are trends. you can see them coming slowly, and maria silva dropping, but too early to call. >> dilma rousseff has overseen an economy that is in technical recession. she fa

>> i think what mostly brazil is economics.dent webe the have to have a change because the last four years has taken ,nto consideration what changed what is going on in the international market. brazil definitely has to change the model of economics. scandal, wet the have seen the extra finery chief on television confessing to a corruption scandal, money being company,off from the paying political bribes. this has gripped the nation we are told. how much is this sticking to the election campaign? how much is this sticking to the current administration? >> it is simple. it is a national institution more than a company. when you have to face something corruption, it comes creates athing that bad climate for investment in brazil, for investment outside brazil, and for the political spectrum. for an him in a conference today in the building. a conference -- m& today in the building. within the oil industry itself, it is a huge opportunity. hugel has some of the most natural resources in the world. is that one of the cornerstones of