and probably those of vested interests want to get rid of jacob zuma. and the poorest people, must continue to be perpetuated. the zuma government thatis perpetuated. the zuma government that is a leading talks radical transformation in the interest of the poll, to ensure we redistribute land and our people become the primary beneficiaries of that particular programme. thanks of the reshuffle, you are police minister. south africa is a terrible problem of violence and insecurity. i am wondering if it was useful and wise for you in one of your first statement as police minister to talk about instilling new levels of fear in criminals, telling the police that if they are approached by violent criminals, the police should outgun them, meet fire with fire. you are not given your guns as toys, you told the police. is that really the best way to address south africa's massive insecurity problem? that is probably the best way to deal with violent crimes and violent criminals who terrorise our society full of making our people gripped by fear. in fear of free m

president jacob zuma stands accused of abusing his power notjust by his enemies but by many erstwhile colleagues. my guest today, fikile mbalula, was made police minister in a recent controversial cabinet sha keup. as the scandals pile—up, are we witnessing the slow death of the anc? fikile mbalula, in cape town, welcome to hardtalk. let's begin with a simple question, there is no doubt the anc government is in crisis, who do you believe has the responsibility for that crisis? well, i wouldn't say it is a crisis. i would say we are undergoing some challenges in relation to what is happening now. and i think it is a test of time, which has happened not only now, over a period of time anc has been tested. it has emerged victorious at each turning point in terms of its history. well, you call it a challenge, i call it a crisis. i don't know what other word you could use when even the vice president suggests that the actions taken by his boss, the president, jacob zuma, have been unacceptable. well, the deputy president can express those views but we must understand the president has his

matt: mark, south africa's jacob zuma has beaten a bid to oust him, again. what does this mean for the rand? >> it was very strange. nearly misinterpreted by the market. the rand actually rallied quite suddenly on the open. it is very low liquidity, but there were some trades. in fact, they didn't even hold a vote on a no-confidence motion, they dismissed it, which means he will survive in parliament. it's looking unlikely you will be removed from power anytime soon. i do find the strength in the rand quite strange. the economy still looking very negative, the current account deficit, while improving, is still 3.5% of gdp, which is quite bad. unemployment 27%, creeping higher. overall, south africa is not looking too happy, at the rent has been quite strong. i think now this zuma possibility of being dismissed is being removed from the market. people are focusing on long-term fundamentals, and the long-term fundamentals aren't looking positive. matt: all right. excellent stuff, thanks for joining us. mark cudmore, macro strategist. you can follow his market

i mean, there are lots of people concerned about the degree to which the current leadership — jacob zumazuma, but zuma fights back. he accuses those who mock him of racism. yes, yes. how comfortable are you with your attacks on zuma? well, my attack of zuma is a puppet — i have a little zuma puppet based on a zapiro cartoon, which is wonderful, with a shower head with the thing that you press and all the water comes out because, you know, he said famously that after unprotected sex with a woman who was hiv positive he had a shower, and he didn't use condoms. i do remember that, and in fact it raises the point that one of the subjects upon which you have been fiercest in your critique of the post—liberation black leadership is on this issue of their response to hiv aids in south africa. you really went after thabo mbeki when he said he didn't believe hiv aids could be spread by sexual intercourse, and he also was extremely slow to believe in the power of anti—retroviral drugs. then i called apartheid the first virus, and hiv the second virus. i said, we got away with the first virus. but

another big development in terms of the forex space, the rand, news of jacob zuma's future. d by almost 2% against the dollar late in johannesburg sunday. this is on reports that perhaps , but zuma would be ousted the rand has now paired a lot of those gains. this is as we hear news that jacob zuma has sufficed this bid to oust him as president. >> thank you so much. juliette saly there on the markets. several closed today. let's get to first word news with paul allen. strengthening global trade helped china's industrial profits to rise 14% in april to more than $83 billion, building on a jump of almost 24% in march, and an 8.5% rise the year before. the national bureau of statistics said better profits were thanks to stronger overseas demand an investment. ba says most computer systems are running normally after a week in crash that disrupted hundreds of flights. the ceo says the carrier plans to operate all long-haul services into and out of london today, but the after affects of weak interruption will mean delays. german chancellor angela merkel has given the strongest ind

and jacob zuma is said to have survived a bid to force him from office.ided not to call a vote with no confidence despite the president facing increasing pressure to step down. the decision to hire the prime minister sparked protests and caused south africa its investment grade credit rating. financialng our intelligence program has created a sweep of the human opponent. chess player has been playing since he was 10 and thought no machine could beat him. alphago is perfect, no flaws and no emotional weaknesses. he said it would be years before computers could master the game. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. amin, this is bloomberg. for that.nks let's get a quick check on the markets where trading is underway in new zealand. a little bit down, 0.1%. the kiwi dollar had the biggest gain in previous sessions. we finished the week flat after the move. futures in australia, we are seeing a positive uptick a 10th of 1% after pricing lower on friday. the aussie dollar essentially unchange

jacob zuma said to have survived a bid to force him from office.fidence despite increasing pressure to step down. his decision to fire the finance minister sparked public protests and cost south africa its investment grade rating. u.k. have arrested two more people in connection to the manchester bombing. more than 1000 people are working on the investigation to determine whether the bomber was working on his own or part of a wider terror network. the explosion killed 22 and wounded 100. hong kong has criticized moody's, saying the decision to downgrade the city's debt rating was based on "shallow evidence o." paul chan said it cannot be considered negative as the mainland is the global growth engine. for theut china first time since 1989. googles artificial intelligence program has completed a sweep of its opponent. after the latest defeat, he said alphago is perfect with no flaws or emotional weaknesses. veteran said it would be years before computers could master the game. global news 24 hours a day powered by more than 2600 journalists and anal

president jacob zuma stands accused of abusing his power notjust

clashing with police in several townships south of johannesburg, putting pressure of president jacob zuma'smises. at least 70 people have been arrested for public violence. the government has admitted that the issues behind the latest wave of protests are genuine and deserve a response. nomsa maseko reports from johannesburg. a sense of calm returns following days of protests. the demonstrations were led by communities who feel marginalised and neglected, protesters up in arms over electoral promises not delivered. they want better housing and jobs. the week—long unrest, dubbed service delivery protests, have become increasingly violent. poverty and stubbornly high unemployment 23 years after the end of apartheid has angered many, piling pressure on presidentjacob zuma's government. labelled coloured under apartheid, not black, not white, the community of eldorado park south of johannesburg feels unheard by the governing anc. some have even openly declared that life was better under white minority rule while others say the protests are justified. the government must act to build houses firs

president jacob zuma has survived an attempt by some african congress leaders to order him removed fromot to vote on a no-confidence measure. there's been more pressure on zuma to quit since march when he fired the finance minister. that cost south africa its investment credit rating. global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. i'm taylor riggs. this is bloomberg. mark: that's check out what is happening to european equities. it is a holiday. we are still here. a little movement for the stoxx 600. interesting move for the italian 10-year. former prime minister renzi suggesting there could be maybe autumnal elections. the time of the next election has to be at least before spring next year. taylor telling, you about that story, and crude oil as well. a quick peek at the chart on my right. this is a great chart. , close tofunds pulling their blog on the longest short, the euro. this is the smallest net short position in years. funds have been betting against the euro since may 2014. we will ask our guest about that. u.s. homela

jacob zuma is staying put for now. over to arab ila let's get over to our reporter in your hand is berg. is zuma safe for the moment? >> he is certainly. it seems he is keeping control of the country. certainly the vote of "no confidence" was discussed this past weekend and it is something he says he never once to hear up again. something that he firmly put ahead and the party expects to open up elections for leadership within the party ranks. they will decide on that later this year. certainly, the president saying he is not going anywhere and will not accept a "no confidence" vote against him at any point this year. atting the party line and no-confidence bid certainly falling flat. the constitutional court is currently debating whether or on to allow a secret ballot a "no confidence" vote that will happen in parliament later this year. whether that will happen or not is certainly to be seen. certainly does the low blow to that move. mark: it has been a fairly muted reaction in the markets. why is that? >> it actuall

south african president jacob zuma's fate in the balance.no we had a lot of activity terms of some of the key players off the back of uncertainty about what is or is not going to happen in terms of the opec meeting. a 4% something drop in oil prices. basis, this is individual members across of the index, you can see some key companies that are gainers. this is the year to date. alsoan see agility, line isbahrain, the top a down 11.1% last weekend. also pressure on dhp entertainment. that stock continues to get hammered. beenne major exception has egypt. their stock index was up a little bit over 1%. tracey: let's check in on the first word headlines. qatar's's has cut credit rating, citing doubts about the sustainability of its growth model. their rating was downgraded to aa2 while his outlook was a change from stable to negative. moody says it expects of the current balance to move to negative and turn into a 2% surplus over the next 4 years. >> president trump left of the g7 summit without committing to the paris climate accord. after pres

a south african high court ruled today jacob zuma must hand over an intelligence report that the former minister was plotting to undermine his government. and moscow says it is ready to send peace keepers to syria. turkey and iran have signed on to a russian plan to make safe zones. global news, 24 hours a day, powered by more than 2,600 journalists and analysts in more than 120 countries. this is bloomberg. it is just after 5:30 p.m. thursday here in washington. 7:30 friday morning in sydney. we are joined by paul allen with a look at the markets. good morning. paul: good morning. well, japan is closed again today for a public holiday, but trading as normal here in australia. futures looking weaker again for a fourth straight date. we will keep an eye on the quarry pang. it is reporting full year earnings. he medianest made is for $2.13 billion. the stock has been on a tear, hitting record highs. always expectations for this bank's earnings. lock og for a third quarter update on the airline qantas. keeping on the reserve back of australia as well, keeping up with his quarterly statemen

south africa's national congress could discuss removing the president, jacob zuma.s march firing of the finance minister, and the nation's ensuing credit cap downgrades have increased opposition to the president. --a may step down as leaders korea, the former president denied all charges against her. she is accused of bribery and abuse of power, faces a possible life sentence. a co-defendant is a longtime friend who controlled to foundations that received billions in donations from south korea. global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. i'm mark crumpton, this is bloomberg. the president arrives in rome, a look ahead to what he hopes to accomplish on this part of his first trip overseas. this is bloomberg. ♪ >> this is bloomberg markets, the trump economy. president trump has wrapped up a two day visit to israel. he's now in rome, his schedule includes a meeting with the pope tomorrow at the vatican, also meetings with italian political leadership. he'll had to brussels then back to italy for the chief s

south african president jacob zuma or has survived a trip decided not to vote on a no-confidence motionpressure has built on zuma to quit following his decision to fire his finance minister, a move that sparked public test. -- protest. amber rudd has said there are potentially more suspects at large in the investigation into the terrorist attack in manchester. speaking to bbc, he said until the operation is complete, we can't be entirely sure it's close. the suicide bomber killed 22 people at a concert in britain's worst terrorist attack in more than a decade. federal reserve banker of san francisco, john williams has said trade interest rates increasing this year makes sense. that's as the central bank makes gradual progress to prevent the economy from overheating. >> when you are knocking the boat, you don't run in as fast as you can toward surer and hope you can reverse engineer. it can run afoul. isn'tle of talking about never approach a dock faster than you are willing to hit it. similarly, in achieving sustainable growth, the best rule is to close in on the target carefully and av

jacob zuma facing a key battle for his political survival.d, senior members of his ruling party plan to push the decision-making national executive committee to order him to step down. he is facing an unprecedented level of opposition from within the group and supporters following scandals he has faced since he took office in 2009. former president barack obama received a rockstar welcome in berlin today, appearing alongside chancellor merkel. after praising the chancellor for her outstanding work, he called for more international engagement to fight the refugee crisis. >> one way we can do a better job is to create more opportunities for people in their home countries, but also because if there are disruptions in these countries, or conflict, that governments, if there is war and poverty, in this new world we live in we cannot isolate ourselves, we cannot hide. mark: tens of thousands of people gathered at the brandenburg gate to mark the 500th anniversary of the protestant reformation. it was mr. obama's for speaking event in europe since l

manus: thank you so much, joining us there from johannesburg on the latest on the polls on jacob zumae to the show. the setup of the political theater of south africa. ,t looks as if on the surface zuma's popularity might be in the toilet, but he seems to be able to survive. what does that do to the south african outlook for you? resilient.been very the currency has actually been very resilient. looking ahead, the main change, that happened in brazil about 12-18 months ago, we are seeing a change. expectations of some change at the helm of the presidency will be good for assets as we move ahead. manus: when you get the shakedown and markets are these moments of market concern, 54% of voters want zuma to step down. do you step into markets when you see these moments? african economy is favorable. it bottom last year. china is not doing too badly, no hard landing. to that extent you have to look at a broader perspective of south africa. do you share that rats of vision -- that breadth of vision? >> the index itself is moving. whether the sovereign bond index or local currency index, the

broad settlement could be reached when finance ministers south africa's ruling national moving jacob zuma this week and according to people familiar with the matter, his march filing -- of the finance minister and the nations ensuing credit downgrades as increased opposition to the president. this due to step down december and as president in 2019. global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. i am mark crumpton. this is bloomberg. ♪ >> live from bloomberg's world headquarters in new york, i am julia. scarlet: i am scarlet fu. joe: i'm joe weisenthal. >> stocks to all-time highs. >> the question is, what did you miss? calledcratic lawmakers trump's spending budget. away, thosemonth negotiations. strong as markets hoped. it is time to be skeptical with third rate increases here. let's look at where the major averages stand as we head toward the close. abigail doolittle is standing by. lot happened. small games for the dow, s&p 500, and the nasdaq. if the down the s&p 500 can hang onto the gains, it will be the fourth day in a row,

south african president jacob zuma's public approval rating has reached an all-time low and most embersf his ruling african congress want him to resign according to an opinion poll released two days after he survived a second bid to oust him. opposition has been on the rise ever since he fired the finance minister and made a number of other executive changes at the end of march. john asus now from burke. what has been the market reaction here? rand comingeen the under pressure since jacobs amount survived that over the weekend to have him ousted as the party's president. the market was hoping for a friendly successor which could have been the deputy president. his campaign to be the next leader of the anc seems to be gaining steam. six months ahead of the succession bid that will play out in december this year. his approval rating is at 66% from 53% just six months ago when the first bid to oust president jacob xoma was set before the anc's executive committee. matt: what are the possibilities in that he will be called to step down? a lot of people would assume it would end in his ouste

jacob zuma survived his second ousting attempt in three months. the rejection committee rejected a proposal -- recall proposal this weekend, but 51% of voters want him to step down. anti-opposition has grown. ina's term as president and december, 2017. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. i am ramy inocencio. this is bloomberg. julia: live from bloomberg's world" is in new york, i'm julia chatterley. scarlet: i am scarlet fu. joe: and i am joe weisenthal. we are 30 minutes away from the close of trading in the u.s.. julia: investors returned from a three-day weekend. the s&p 500 snapping a seven-day winning streak. joe: the question is, "what'd you miss?" scarlet: energy shares leading the selloff -- not really selloff --retreat. how about that? tech shares leading them the upside with amazon hitting $1000. cash president -- president trump ratcheting up a dispute with angela merkel that threatens to undermine relations. elections with a u.k., italy, and germany will. -- preside

we're focusing on an ouster in brazil and focused as well as -- on the future of jacob zuma. we have this meeting coming up, record --here is a there is a possibility of him being ousted and the market is starting to price it in here again. are we getting ahead of ourselves because that has been the story of late. guest: we are getting ahead of ourselves if anyone is thinking that jacob sue myrick is about to be ousted. i do not think many people think that. what is going on here is that suddenly, the very discussion of his ouster is in play. that may be something that time, during a period of it probably will not happen this year. to discuss that possibility. as a positive factor. if you consider all the other positives going on in south africa, where the economy is be getting to show some positive signs, we have inflation falling, the likelihood of interest rates and a rate decision today, probably no change but the likelihood of more interest rate cuts going forward that will reduce borrowing costs and south africa forl has a lot of carry traders. the yields are high on th

did have some news overnight that the anc leadership could be debating the ouster of president jacob zuma we are now seeing durant -- seeing the rand strengthening in the past three sessions, and it continues to strengthen today. i do want to bring this up in the context of emerging-market currencies, because if you take a look at his white line, which is the emerging-market currency index, it has gained more than 10% year-to-date. --n it comes to be rand comes to the rand, there is still love with the carry trade that is being felt in the emerging market spirit -- sphe re. betty: watching many factors in the asian markets. now let's get to the first word news with paul allen. msci venture henry financers has told bloomberg that the inclusion of shares on the index next month is by no means assured. china was rejected for inclusion last year and is awaiting the msci's classification review on june 20. fernandez says the timeline is tight. asia rose strongly through march, but have since declined. >> the process has been hard for the last three years. there have been other places that has

yen 111.07 and the south african rand extending losses to a second session after the president jacob zumaurvived a bid to oust him. your data, but let's get to the bloomberg first word news with nejra cehic. nejra: the president at the st. louis fed said the jury is still out on if the trump administration will meet wall street expectations. some bullard said at point, the honeymoon period will come to an end and washington will need to deliver on policy promises that have driven the stock market. james: the business numbers shot up after the election was perceived -- the president was perceived as more pro-business than the previous administration, washington does have to deliver at some point and i think that is a concern theg forward, whether honeymoon period would end at some point and the reality of american politics would settle in. we will see if that happens or not. i think the jury is still out on all of that. nejra: in the u k, leaders of the two main political parties faced audience questions in a nevada last night. jeremy corbyn outlined his vision for britain's future outside

in south africa, the president jacob zuma survived a attempt by some african congress leaders to order him removed from office, according to members of the party's executive committee, the panel decided not to vote on a no confidence measure. there's been pressure on zuma to quit since firing the finance minister and cost their credit rating. global news 24 hours a day powered by 2600 journalists and analysts in more than 120 countries. i'm taylor rigs, this is bloomberg. matt? matt: thanks very much. let's look at the market action now. i'll kick it off with equities and bonds just to show you a little narrative here in european trading. u.s. markets are closed. the british markets closed as well for a bank holiday. here you see the german 10-year deal basically unchanged. we had a sizable drop in germany as wells a sell-off. looks like investors are getting more risk on but volume is very low. you see the stock 600 still down .1%. roughly, of course, a lot of the stock 600 is not trading since a huge chunk is u.k. stocks. you see italy's 10-year field gaining about two basis points b