how the imf works? t: i do not recognize your discussion or the description you have in the book -- your description or the description you have in the book. it is true that the fund engages with all th countries. part of its job is to review the country policies and give advice which the country can choose to take her not to take it, including the united states -- take or not to take, including the united states. when the country gets into longer meetcan no its international bills, it goes in and tries to help the country to straighten things out. they are not connected to the cia, they are not connected -- they don't lend it to corporations. they landed to governments -- they lend to governments. there are strong and weaker governments, more and less attractive governments. it is one of the challenges of the international monetary fund that you have to work with the government that is in power in the country if you want to help it at all. sometimes that has led over time to working with less than savor

>> on the imf, we have seen what imf help means to a country. ou don't get the money without strings attached. and the strings are what we call austerity. that means pensions will be reduced, salaries paid by the state to federal employees will be reduced or people laid off. that means all of the utility prices in the country will go up probably 50% to 100%. emmys the job market will contract. there'll be more unemployment. you're worried about destabilizing ukraine, the imf will now come with these measures. let's look at the humorous or ironic part of it. the first part of the money was paid, i believe, this week, $3.5 billion. it is approximately what ukraine owes russia for natural gas already delivered. so rush is saying, great. just have the imf send the check to us. that will be decided in the next few days because russia says if we don't get paid, we aren't going to send any more natural gas. it is not winter now, but they still needed to turn the lights on. russia is not opposed to the imf paying ukraine's bills. is notlity is, ukraine g

he will have to deliver as part of the imf package support to ukraine, the ukrainians have already begun passing the kind of legislative base they need to clean up corruption, things like transparency, public requirements. president-elect poroshenko will not only have to talk the talk but walk the walk. he's talking about things like e-governance. we will see. like you said, he is somebody who has a long career not only in business but also in politics in ukraine. very early in this struggle, he picked sides and he stood with the people. he actually interposed himself physically out certain key moments to call for nonviolence. he stood on a front loader at one point when people were shooting at each other and he said, stop. this is not the way we behave. he has put his own physical security on the line for a new ukraine. >> even during the orange revolution in 2004, we saw her -- heroic action and then followed by grandiose disappointment and widespread corruption again. why will this be any different? shouldn't there be an accounting of all the western money that come from the imf and e

the imf hints the situation in ukraine needs to be addressed. >>> and u.s.quities close out april with a bang. the improving economy may force some investors. we think the idea of selling may go away. they're ignoring the weak first quarter gdp figure. >>> celebrating 25 years of cnbc as well. sterling hit a five-year high against the dollar after strong manufacturing pmis come in at 54.5. sterling now above 1.6. other data out, march mortgage approvals coming in at 69,592. that's a little bit shy of the consensus as well, mortgage approvals, consumer credit, up 1.1 billion in march. versus february's 0.6 billion. that's stronger than the forecast 0.7 billion. the mortgage approvers, looking to be around 72,000. but anyway, stronger manufacturing data, consumer credit is stronger than expected as well. joining us with his thoughts, marcos welch, strategist. we saw the strongest gdp and the manufacturing pmi suggests it continues. >> yes, it does. the manufacturing sector is one of the sectors doing particularly well. it's clearly benefitting from a less adve

co will have to demonstrate he is ready to change the way ukraine has done business, not only for the imf but for all of the people who went out to vote for him, and that's going to be the number one thing that people of all generations in ukraine are going to expect. and particularly the younger generation that led this effort. they are just sick of the country being ripped off and they are going to hold him to account. >> we continue the conversation on ukraine with fiona hill, steve kotkin and thomas graham. >> we have a very difficult situation in ukraine. par chen co has some form of legitimacy but him being able to put together a policy to bring together the various segments of ukrainian -- of the ukrainian and get a national consensus which is needed in particular to undertake the very difficult economic reforms i think we are going to have to wait and see. it is too much early to declare this crisis over and certainly much too early for washington, brussels, or the government in can i ever to have victory. >> we include with cartoonist roz chast. >> can't we talk about something m

ah weighted voting authority in the imf that in the united states blocks. you know every form of the imf quota system to reflect that it's not non western countries they're really fun to be the odd. washington the shrine to the mosque it will bring you more news from open. the air. i was. they tortured the convicted murderer to death with a bulky strange brew of lethal injection. first his name is living and writing gasping in pain for forty minutes until it finally died of heart attack. no europeans read what i said america. oh well manufactured chemical debt the consensus is that making it won't be over. with adversity comes opportunity this could be huge growth industry for the president does so complex in america manufacturing more intimate more gruesome instruments of that the doors. stories. you can do. changing the world likes. eight years the kitchen . she stirred opposition leader on a visit to washington has called on the us to start supplying his forces with gleeful aid to fight the government of the knowledge of the promised he would remain in s

the imf policy advice was to good use by countries to create ordinated global response the imf also provide funding and an unprecedented scale. i want also on the web. and they've seen the torrens title. is uni. changing you'll both be well known is that the jumbo that i got today though john was gone on that idea is on the brink of extinction in many fall to the one except in one room old color of thailand with a tiger is thriving the ferocious god has been tamed by a handful of buddhist monks are too hahas this fascinating story from time. i learned to play or a private eye to such a nice cheap that it was a long time le. laurie century established twenty years ago one of them. one hundred and twenty tigers now call the temple home. the monks say they live in harmony with the sch each piece the natural instinct to think of it. we can retrieve the female tiger kitten who on february nineteen ninety nine. so scott to the tiger temple from that time. and now as i speak as so many animals. go to some chai is probably the least popular man in the temple. the tigers know a visit from the delta

imitated not agree with the imf policies. but that is not fair to her. il: but with condoleezza kids get up the dust with the war in i understand that >> i agree. she is the first female president of the imf you don't think she has something interesting tuesday? -- tuesday? nothing to take away from that? you would not want to hear her speak? neil: no. that does not mean i would not allow her not to come. but people on both sides yvette michelle obama and you can take away something from all of these women it is a shame. >> to letters speak but don't listen. neil: exactly. >> here is the reality. neil: she is supposed to speak this weekend. [laughter] >> some of the most solid title issues have started on college campus sees one dash campuses and look back at the epicenter but --. neil: food interviewed does speaker your college? >> we had tom friedman. we are all excited but people who were not excited was still respectful that he was there and most people paid attention. i am surprised you are not a little bit more encouraging. >> it does not matter. >>

the we really needed was imf economic reform package and moving inckage conjunction with association in the fall so that ukrainian economy would have had a safety net. what happened was at the end of the day, the russians were able to say, we will crash your economy if you join europe and there was not sufficient western alternatives for ukraine. to. is certainly one lesson really, we don't need economically necessarily to force a country like ukraine to choose. it ought to be able to have a strong relationship with europe and also maintain a lot of its historic trade to russia. the foot can do this right, ukraine could become a throughput for better, cheaper ukraine,ween europe, and everyone could conceivably benefit. we needed to have a conversation in a more rigorous way. >> part of your job as a aslomat is to see the world vladimir putin would. he sees this as a generation-long million nation enlargement when promised otherwise. you know the litany of complaints directed at the west. does he not have a point in any of his litany of resentments? >> president putin and many in his c

the ukrainians now have the money thanks to the imf. are we going to see a deal? ect that we will see a deal. there is a lot of pressure coming from europe, from germany . talks are taking place in berlin. the germans are pushing ukraine to use some of the bailout money. in total, ukraine probably has billion between the imf, euro and the bond issue. they are using some of that to pay down the extending debt and put pressure on both sides to come up with terms of agreement on a new contract. nice that the imf and eu can help support ga zprom. >> i guess from the russian perspective, this is a highly politicized dispute over unpaid utility bills. depending on which side of the political divide you are on, it comes down to the fact that the gas bill hasn't been paid. the existing contract is clearly unfair to ukraine. they need to pay down some of the outstanding debt. also there needs to be a renegotiation of the contract. that is the issue on the table the terms of that new contract. cracks the focus is more on what is happening in the east of the country. choppers

. >> well, analysts at the imf are concerned about russia's economy and the effects of u.s. and european sanctions. so they downgraded their forecast for growth. analysts have predicted growth of 1.3%. but the head of the imf mission in moscow says the sanctions will slow the pace to 0.2%. >> difficult situation. especially the uncertainty surrounding the geopolitical situation. and follow-up on sanction and escalation on sanctions. weighing very negatively on the investment climate. >> investors have pulled their money out of russia, too. more than $60 billion worth, in fact. analysts at the imf expect that by the end of the year the outflow will add up to about $100 billion. >>> chinese officials say a key manufacturing index approved in april for the second month in a row. authorities a t the national bureau of statistics announced the purchasing managers index for april stood at 50.4, up 0.1 point from march and above that break even line of 50. analysts say the second straight monthly increase suggests that the economy is improving at a moderate pace. the index had decl

there's not much the imf can do about that. a matter that hopefully can be resolved by diplomatic channels and can be addressed in a cooperative way by the various parties involved. but it is a risk that is looming over the program, it's clear. >> doesn't russia really have a strangle hold over ukraine because of energy, because of the pipeline, because of its connections do say nothing of the military? but economically, doesn't it really control the future of ukraine? >> the two -- again, there are two channels of contamination or contagion. one is the trade channel because about 25% of ukraine exports go to russia, that's one. and the second is the energy channel which does not only effect ukraine but others given the transit post that ukraine is concerning gas -- some of the gas that goes out of russia to the european countries goes through ukraine. there are anchors of risk in the whole situation, yeah. >> i want to talk to you about sanctions and in this instance the sanctions were criticized for being weak because primari

the imf has come as the fourteen billion dollar aid package in exchange for sweet the reports. rice's attempts to de stabilize the country baxter and unrest in east and threatening military intervention have intrinsic every doubts the skill is already raised gas prices for ukraine anything to hide them again but each percent a move that could further case the fragile economy. bought new one. some residents off the east and says he'll keep crying slowly on this site by employees of the standoff in east of the country and are still in place the cloisters the following piece of land the comments come as the city reminds the neck piece and tall but to the take off on maths russian separatists season government buildings and calling for separation from you crying the storm. i am with delta delta for unified ukraine. honestly i'm fed up with everything that's going to try to stop people are afraid to walking the streets in general to go adults in the majority of stores on what team i would like everything to calm down i would like to get to rush it. it was indeed better than old tabl

when taken by ukraine and decisive measures have just been taken by the imf. so there has to be in a very strong endorsement for the program which will release over the course of the next two years seventeen point one billion dollars in net. different instalments over the course of those two years. it's a program which i as implementation risks. it's one where we are trying to mitigate the risk as much as we count instead the imf predicts their ascension to the russian economy. economic growth rate in russia has been slowly but steadily falling for complex has taken the head of the rice an imf mission. the situation is worsening because of the geopolitical conflicts the international monetary fund forecast that in twenty fourteen capital outflow from russia could reach one hundred billion dollars maybe you and a us sanctions will have negative impact on the investment climate plants under duress facts. mini me was celebrated in different countries of the word however somewhere slogans and flags were not enough more details in this sorry nineteen there is crap.

the forty from an agreement with the imf with it. he knew when he's ready my micro financial aids. a new framework for the overall package. so we already support your grave. causing change. our reforms. and if life begins quarter. he's one of the main reforms that has to be undertaken. so for a decent stable ukraine. what can we continue to study session of the country. he presented to keep ethos jerry measures to stabilize its economy falling years of financial mismanagement the imf has promised a fourteen billion gallon a package in exchange for speaking reports. rice's attempts to de stabilize the country baxter and unrest in east and threatening military intervention have a green sticker free to balance the scale is already raised gas prices for hickory anything to hide them again but you'd percent a move that could further case the fragile economy. you know ukraine's she prosecuted the cheese the country's former president they see an exhibit of having a mafia style syndicates these crimes cos the former soviet republic of two hundred billion dollars and cents of the stolen mon

was taken by ukraine and decisive measures have just been taken by the imf. so there has been a very strong endorsement for the program which it will release over the coals of the next two years seventeen point one billion dollars meanwhile pro russian separatist remaining control of several government buildings in dozens of cities and towns in eastern ukraine meteors are also holding negotiations with militants were taken seven military observers hostage in the pro russia stronghold of sloppy ounce. and train down to unite stage of botched execution in the state of oklahoma has reignited the debate over the death penalty. thirty eight year old clayton market was scared to be put to death by lethal injection on tuesday. but dr stop the execution when he began composing and whiting in pain. he then died of a massive heart attack about forty minutes after the procedure. state officials had been testing a new cocktail of chemicals in its lethal injections. human rights groups have condemned the incident as torture and called for nationwide ban on capital punishme

publication this isn't a question on this point on the imf and agreeing to deal with the authorities in cairns as an upholstered chair. but you gotta wonder we should follow the money you don't always get the logic of what's going on the ground it's not necessarily about me is which it is in no way. i mean this whole thing started when you're cold it was waffling on whether he was going through is lying with the eu ukraine slot in the eu was trained in other kinds of alliances and and age there's a whole part of the country that wanted to be closer to russia and its nice to think that's one reason we talked about civil war in ukraine was so much because there were ethnic tensions are because this one's family didn't like this one's family it was over the economic future of the compass of the country. so i'm saying is that going to put men can feel the pinch in the pocketbook and still continue on with his policy so he will be the first dictator to wrap the country's economy is to make a point. and i think that's why he's quite capable of doing that. i think anyone has watched him ope

necessary -- decisive measures were taken by the ukraine, and decisive measures have just been taken i the imf> the international body will pay out $17 billion over two years, starting with an immediate 3 billion-dollar first installment. there is also further aid from the european union and the united states, a lot is expected of the new interim government in return. the bailout is dependent on economic reform, in particular reducing the country's $8 billion budget deficit. the imf has called for a whole range of cost-cutting measures including suspending a look sector wage increases, and in addition, kiev must cut down on tax evasion. this is described as inefficient and opaque and is expected to face the biggest overhaul. the ukraine has one of the highest conception levels -- consumption levels in europe. >> we believe that the ukraine has an opportunity to seize the moment, to break away from previous practices, both from the fiscal, from the monetary and from the government's point of view. >> the conditions are likely to hit households hard, and could strengthen the tenuous grip on powe

so think of stronger safety nets around the world such as better imf lines of credit, more tolerable ones. >> all right. that is going to do it for biz this hour. here's the markets. accumulation to avoid th >>> billionaire businessman petro poroshenko has been named as the winner of the presidential election in ukraine. poroshenko captured more than 54% of the vote. former prime minister julia tymoshenko got about 13%. poroshenko's aides say they're organizing his inauguration for next week at independence square in kiev. demonstrators camped out there for months and ended up driving former president viktor yanukovych from office. u.s. secretary of state john kerry spoke over the phone with russian foreign minister sergey lavrov. they discussed the separatist movement in eastern ukraine. kerry pressed lavrov to end all support for the militants. >> he also urged russia to reach out to president-elect poroshenko and begin working to the to de-escalate the conflict. >> she said kerry pushed lavrov to get the militants to lay down their arms. >>> egypt's former army chief has won a divi

she also met with the imf. what was the focus of the discussions? osce focus of what they were talking about was the german economy. they had this news conference afterwards and obviously, ukraine came up because the german foreign minister has been trying to getssa people to get together and talk. this is the diplomatic solution that germany is trying to broker. they're trying to create a nonviolent solution to this whole crisis in ukraine. mrs. merkel was asked about the intent for the osce, the organization for security and cooperation in europe which is a , a security rights monitoring group led by european union representatives. they're also tried to put together a roundtable in kiev the progression separatists and the central government in kiev to bring resolution. she was asked about how successful she thinks that might be. everybody is called to make a contribution, including russia. we believe that roundtables chaired by the osce is a good opportunity to do this work. the more representatives at the table, the better, but it is also clear th

a lot of conservatives have a problem with the imf. it is not because of the patriarc key. >> they give loans to poor countries, those evil, evil people. >> but in a patriarc fashion. >> and they demand the loans be paid back. >> there are a lot of people who would agree with them. they say they are propping up patriarc regimes they say a lot of the money goes in the country and they are third world dictators. maybe we are bringing people together. she wrote a great piece. >> name dropping. >> she said because of things like the internet and having hundreds and hundreds of tv channels and dvr's she said basically mill 11 y'alls are growing up in a world where they are never forced to see or read something they have not personally selected. that's the problem here. i don't want to hear that so it shouldn't happen. >> that is kind of true. >> you were born in 2001. >> coming up, what did the robot say when the astronaut left him alone in space? i'll tell you -- when i tell you it will kill the success expense. where is the fun in that? fi

i told them to kiss my -- >> they are protesting the imf. >> it's even worse when you -- >> it's funnythe arguments on the left. right in the pocket of what these -- >> it's as liberal as it comes. it's a redistribution of our wealth. >> it's a handful of students, isn't that worse then? >> these guys refuse to come up and stand up and they would make fools of themselves. >> i think we take away the tax exempt status of these colleges. >>> warren buffet, why has he chosen to donate money to abortion groups? that's up next on "the five." we need it right away! we cannot let the fans down. don't worry! the united states postal service will get it there on time with priority mail flat rate shipping. our priority has always been saving the day. because our priority... amazing! ...is you! the amazing spider-man 2 delivered by the united states postal service. was killed june 28,2005 in afghanistan. my husband's death was the hardest thing i've ever faced. the special operations warrior foundation stepped in to help. now you can help, too. purchase new cherry 5-hour energy now through july t

hope this ukraine's president admits this post is called control not to visit the east as the imf to cruise the seventeen billion dollars bailout for his country apprentice two hundred and thirty two to zero. hundreds turned out to third on twenty eight deaths due to falling kiddos. to be sold into marriage. fourteen people killed and dozens of attacks as iraq goes to the polls and it's the destructive went away to a more secure future also on the program as well the difference. the deal the placement of two to calm she is the eye. he pinned him to let you know the ukraine the country is on high letter of approval to set that is to confirm that yes another fifty. team president on his undertaking i'll admit it the ukrainian forces have affected the host controller at the east of the country. on wednesday most common prayer russian separatists seize government buildings in the town of cody caught just the tail to taking control of enhanced the town lies just north of donetsk what the russian speaking majority of cool for a referendum on success in autumn eighteen deficit. with the late

it displays it matches were taken by ukraine and decisive measures have just been taken by the imf so there has been a very strong endorsement for the program which it will release over the course of the next two years seventeen point one billion dollars in other developments. mason has opened a second mother to spend his ummah riyadh based in reaction to events in ukraine. well mason aggro who he is the ad based upon these baltic states as rights activists in eastern ukraine continue to detain around forty people including seven military observers might reopen on station security cooperation in europe to a season of dance last week the us ambassador to the osce counted the team's claims of russia's involvement in the area and said there appeared to be many instalments of this release. it's very clear that what's happening would not be happening without washing it off. that doesn't mean that everything you see these russian involvement. what is happening would not be happening without a russian bomber. we remain deeply concerned about international group of hostages who were invited b

the korean law three c three point two billion years dollars from the imf mid may to help the country's aids deaths ever since the protests continued to spread an arrest in the country's eastern regions. or what. in two thousand and six president putin launched a crusade against gambling in restaurants going as far as calling gambling a dangerous addiction and a magnet for mini's. this led to the closure of most trusted casinos and slot machine vendors. now however president putin has announced it is his plan to create again the zone in crimea the most biggest our hotel casinos as a way to promote tourism in two thousand and lod his own proper country and now see an opportunity in crime may have to add a fifth after spending fifty billion us dollars today so she's sports they use for the winter olympics. many believe that turning the area into a gaming zone might object to be fiscally viable put up or shut down the idea claiming that gaming would drive away so she's too distraught to its base of middle class christian families with children there is however no such concern for the newly

however the imf has told government should stick to its current adjustment of two billion euro in expletives. morningstar economics correspondent children enjoyed the not so this means no hope of tax cuts than shown in the next purchase but doesn't seem like the imf are suggesting tucked inside me there saying stick to two billion adjustment is needed it's necessary to lock in gains being made and to set up the economy for further growth in the future is saying things are growing and things are going pretty well here but no time for striking facts as far as the concert also where are you going to or how we'll pay for the tax cuts either duty to make deeper spending cuts which nobody is in favor of local or you will want to get more revenue believed to be much much more than they were expecting them to cut the six or four times today. i wasn't doing well on those about to begin. when will it be possible the psyche a tsunami of cash coming in to have to call for seminary in st so it's difficult to see at this stage appears to me how they could possibly afford to pay for tax cuts. ok children a

ukraine on three c three point two billion us dollars from the imf and mid may to help the country's aids deaths. ever since the protests continued to spread an arrest in the country's eastern regions . all eyes are trained in your upcoming auctions later this month after record breaking sale last year a friend from eight to nineteen sixty nine piece titled three studies of the sand for ways to win four hundred and forty two point four million us dollars gained the most expensive painting ever sold in auction. did someone put five billion us dollars worth of impressionist modern and contemporary art getting seventies and christie's over the next two weeks the stakes are high for the teal archrival houses as they strive to tap the markets characterized a very deep pockets. our pre sale estimate is two hundred and twenty to three hundred and twenty million dollars which is our second highest prerererererererererererererert that east called the morning session. its motitititititi pag his model named own react each morning he gave her painting lessons so it's wonderful to have a painter

the world bank, the imf, the different major institutions including nato have to respond to these elections will they do? big challenge because these are institutions developed after world war ii and modified somewhat. they have to respond. what will have to happen is that governments -- we talk about global relations. governments have to concentrate on improving their economies and giving younger people greater opportunities for jobs. that means helping and developing the kind of domestic policies that are going to be more opportunity related and more inclusive. that means breaking down some of the regulations of access to market and opportunities. >> let's talk about one of these countries and how they have to adapt. this is from robert hormats. this is in the huffington post in october, 2010. this goes right to expecting the unexpected. what is the unexpected now? >> the unexpected now is that you will get them as a result of people who are concerned about globalization, greater degree of nationalism in the way policy is constructed. that's particularly in the internet. different countri

will pay half of this to russia over the coming weeks with financial support expected to come from the imf. the next round of talks is expected to take place on monday and this will be on the price that russia is demanding. back in the early months of this year, the ukraine was paying 286 u.s. dollars per thousand cubic meters. 485 u.s.a is demanding dollars for the same amount. for what manyhike others are saying is unfair and motivated by politics. >> the central african republic , peacekeepers opening fire on a crowd of protesters killing two people and as anger grows over the deadly attack when a church left over one dozen dead. president calls it a terrorist attack. >> engulfed by antigovernment protests and with the latest wave of violence, some are left dead and others injured. these demonstrators have been calling on the interim government to resign and demanding there remiss all of the african peacekeeping forces. the reason behind it is they are accused of failing to intervene during a deadly attack on wednesday in which six people were massacred. they dubbed the onslaught a terr

these currencies, according to our and the imf's valuations, are undervalued. the question needs to be asked -- why are some of these emerging market sovereigns trading six times higher than the ecb sovereigns? >> last time you mentioned mexican. the fact that you need to country pick. i will ask you that after this break. he stays with us. here's a look at what else is coming up on "on the move." wishful thinking. italy's finance minister tells us an exquisite interview that he welcomes a softer euro, but does not see depreciation on the horizon. sprint lines of financing for the mega deal of extremes. will regulators let it happen? and we look at lloyds making a comeback. ♪ >> welcome back. i'm francine lacqua in london. streamingn the move," online, on your phone on apple tv on on amazon fire tv. this is a stock on the move. it is bskyb. our reporter ryan chilcote is on top of that story. gaining 4%. a reminder that there are a lot of indices closed in today's trading session. some ofpressing with the figures, especially in terms of advertising revenue advanc

david, she also met with the imf. what was the focus? >> the focus of the talk with the imf was on the situation in the german economy along with the oecd. obviously, during a news conference, the whole issue of , particularly a push for the organization for cooperation and security in ofope to host a roundtable talks pulling together pro-russian separatist, but also the centrist government in ukraine. angela merkel obviously pushing any diplomatic solution to this crisis. she was asked about whether she thought this could be a potential way to seek a solution. is called to make a contribution to this, including russia. we believe that roundtables are a good opportunity to do this work. the more representatives at the table, the better. only those are welcome who are ready and credible for not achieving their goals through violence. 25,he also said that may the presidential elections in ukraine, would be the absolute key. french officials adding that if there was potential interference coming from russia for those elections, that is what

he promises to throw the imf, the world bank, and e.u. financial backers out of the country. but then what? >> it is not enough. >> he will give --she will give them her vote. the university lecturer and mother of two has been out of work for two years. she believes he is the only one who dares to challenge those responsible for the current crisis. >> i believe in europe. i want to change europe. i want to change the way of thinking and move it towards the people and less towards the companies and banks and everything. i think giving the vote to more leftist parties, we will give a new era to europe. >> is anti-german campaign can be felt in unexpected ways, like from this election helper. >> the german channel. >> he plans on running in the next parliament reelection in 2016 with hopes of becoming prime minister. the polls put him neck and neck with the current head of government. critics believe he would form a coalition with right-leaning parties if it got him into power. >> he is doubtless politically talented. he has increased the party's following from three to more tha

the guy that for a long time was working at the imf during -- the imf. he is a numbers man. he thinks in italy we could be above forecast. this is the time to act. he is confident that the prime guy that ise blowing everything up because of his energy and youth, will be able to push it through. he talked about the political stability. this is probably the biggest problem in the last 30 years and italy. it seems the troops have rallied. he is quite excited about this. the new don. -- dawn. >> he talks about complacency on the markets. worries that when the italians get the presidency in june, there is going to be too much complacency because mario draghi is saying to take the tail risk off. he says it is great mario draghi is giving us more time. there is a danger that amongst all the elite, they say he is taking care of it. they don't -- will be pushing the tough reforms. >> what did he say about italian bond yield is mark -- yields? >> he said a lot of it has to do with the italian economy. he is less political than the previous italian finance the star. because of his prev

if that is true, it will be interesting because think about it -- the imf, the oecd, even the unitedtates has been on onncellor earned shall go -- chancellor angela merkel saying that we need a rebalancing of the economy. if that is taking place, we may get another clue later this morning, manus. >> ok, david tweed for us in berlin. a slightly different depth view at this mark with jeremy stretch , the head of fx strategy. >> good morning, manus. >> we just heard david talking about a whole host of issues -- , the eversia, ukraine present threat. as david said, is very rebalancing in germany. what is your view? >> absolutely, it is one of the integral business indicators for the eurozone. clearly the german economy remains the bellwether. it's the lead economy within the eurozone. if you look at the gdp numbers and q1, it is the only economy is the eurozone debt growing, dragging everybody else in the slipstream. the question is, are we going to see a rebalancing, which david touched upon. i think we also need to look at the expectations. the comparative survey saw a big fallback and

i have heard the name of christine lagarde, the imf chief, has been floated. it is not a foregone conclusion he will be the next president of the commission. but he has claimed victory. he says if you do not respect this new rule, that will be another blow to democracy. >> thank you for that analysis. to of the world news. in the belgian capital, they laid down flowers, but candles, and held a minute of silence. around 2000 people gathered around the museum in brussels to pay their respects to the four people killed in a shooting on saturday. the crowd made up of jews and non-jews taking part as extra police patrolled the streets of brussels. the investigation has been sent to the belgian federal terrorism prosecutor. he is poised to become ukraine's next president. the billionaire and former politician has claimed a decisive victory. official results are expected later today. current estimates give the oligarch 54% of the vote, which would rule out a second round. the former prime minister trailing with a distant 13%. poroshenko is taking on a difficult missio

again, that would have been an unprecedented move by the imf. can you tell us with respect to this mexican brief, has any official in your department encouraged mexico, expressed approval to mexico, contacted mexico at any point in the last year regarding them filing that brief? >> congressman, be clear we did file in the lower court proceedings a brief. i am not going to defend argentina's behavior in any general way but this narrow issue of banking, of law, we do think that the rights of creditors warrants attention an we filed a brief. there is a general policy in the executive branch to only file amicus brief. we didn't feel amicus brief. >> i had conversations with my counterparts. i told them exactly what i told you, which makes it clear what we think the right legal outcome would be. i think the conversations with the imf last year kind of reflected them just conforming to the fact we weren't filing a brief, they didn't file a brief. >> mr. secretary, my question is separate. my question is have folks in your department as far as you know,

not personally because of the imf policies around the world add patriarchy. >> my winner sylvia mattll breezing through her confirmation in congress. loser the "new york times" handling of the ouster of jill abramson which brought them a lot of criticism this week. >> winners and losers. >> my loser harry reid. that's redundancy. week after week. he has made a fool of himself amend the bill of rights to stop the koch brothers who apparently are the greatest threat to measure liberty since al qaeda. he needs an intervention. winner of the week are cats as a species as you will see. the video of this cat rescuing a boy from a nasty dog. we know cats have a deserved reputation for being selfish, snobbish. like the french they can be occasionally heroic. >> winners and losers? >> john conyers congressman from detroit seeking a 25th term. didn't manage to get on the ballot: the winner of the week are the marine archaeologists who have confirmed that the wreckage they discovered in 15 feet of water off haiti is indeed the santa maria christopher columbus ship. >> that is pretty cool. that'

sought the imf -- saw the imf firsthand. >> they need to talk to wendy and go shopping.ail therapy. >> coming up, why investors are pressing the switch off button. that is next on "bloomberg surveillance." ♪ >> good morning, "bloomberg surveillance." i am tom keene. with me is scarlet fu and adam johnson. a quick data check. for those of you in the evening and tonight as of india, election returns looking to be early resounding for mr. modi. side of thee other world. you do not see it in the markets. look at the 10 year yield, 2.496. a stunning statistic from the week. futures got my attention. gainers and losers. lastsco up 6% since september. orders climbing on demand for networking machines to handle mobile traffic. cisco benefiting from that. we wanted to highlight walmart, down two point four percent. blaming the weather for weakness in the first quarter. second-quarter quarter profit forecast also missing estimates. >> zip shop is a gainer. >> it is an online retailer. talk to steven davidoff about alibaba, he is the guy on china. >> about auditing, numbers, all of

it brings together the imf chief, christine lagarde. sayingraghi was quoted the ecb remains alert to a negative spiral of low inflation. and inflation is currently well below the central bank's rate of 2%. speculation add to the ecb could lower interest rates when the ecb's governing board meets next week. investors are also digesting the outright victory of billionaire poroshenko in ukraine's presidential poll. he owns a news channel in ukraine. as charlotte hawkins explains, he is facing a series of challenges to get ukraine's economy back on track. >> poroshenko, the confectionery king, has made billions for himself. now he is hoping he can do the same for his country. the bank predicts the economy will contract by seven percent this year. he has his work cut out. after supporting ukraine's pro-european demonstrations, the new president says one of his top right or these assigning an eu treaty -- top priorities is treaty as soon as possible. >> we will take decisive steps to bring to life the main elements of the eu association we sho

the imf is expecting growth of 3.6% for next year and 2.9%. this must -- 3.9%. in europe and the u.s., just as in other industrialized countries, we are still facing very grave challenges. this is no reason to be complacent. we have a far too high public indebtedness. a big burden of unemployment in many countries, especially among the young generation and increasing competition on global markets, and the continued vulnerability of the global financial system. we will only be able to master those challenges if we continue to work closely on the basis of the transatlantic relationships. and the imf, world trade organizations, oecd come a and the framework of the g7. 2007, the transatlantic economic council was established not only on this very important area such did it contribute to a smooth cooperation between business communities but it proved to be in a way the nucleus of a project that at the time was considered utopian by many. the project to take up negotiations on the transatlantic trade agreement. ever since last summer we have been negotiating and we are

. >>> despite the control, the economy is getting help from the imf fund. >>> alexander pachinof says combat troops are on full readiness to stop the terrorist threat. >> judging from what's going on around the city, that may not be enough. nick payton walsh has the story. >> reporter: when they say they're losing control you can see why. >> they saw about ten ukrainian armored personnel carriers. they pulled back. a week ago a similar assault killed three of them, they say. but the smoke obscured the scene and quickly to their surprise, pretty well armed men say only the soldiers saw the armor turn back. locals bring them food as they protect them from the poor and jobless. i can't survive on my salary, he says. we had a factory here that closed. hundreds lost their jobs. andre says he's an affected para trooper that served in the congo. i'm with the people, he says. i serve ukraine. this man says his rocket launcher is also from affected para troopers. as we drive around to look for the ukrainians, we notice on the edge of the camera lens heavier armed people at the checkpoint rival

when taken by ukraine and decisive measures have just been taken by the imf. the international forty will paled seventeen billion dollars labor a two year period stopping with an immediate read any and all the fuss instalments. it also involves further aid to combat the eu and united states. and also as expected of the country's new interim government in return the bailout is dependent on economic reform in particular reducing the country's eight billion dollars budget deficit. the lamb at the school for a whole range of cost cutting measures including suspending sector wage and pension increases on slashing the number of sector workers. in addition kiev is to come down on tax evasion and increased gt on alcohol and tobacco use the energy sector described as inefficient and taipei is expected to face the biggest day of the hole. ukraine has one of the highest consumption levels in your late hour of spring subsidies car in the run around seven point five percent of gdp. we believe that ukraine. as an opportunity to seize the moment. to break away from previous p

island was the smallest countries in the eurozone signed up with ten billion euro bailout program with the imf and eu in march twenty thirteen standard course said that the biggest challenge in cyprus meeting lenders conditions was a privatization program expected to raise one point four billion euro despite twenty eight. cyprus has to meet costs and odd is that the president of the european commission jose manuel barroso said in brussels speaking to the media a joint press conference president announced its te ata said. cyprus is going to a difficult period and then a stop to use active involvement in the building its economy and to support the peace process with turkish cypriots. president monson see artist also think the eu for its decision to allocate a further two hundred million pounds in the cypress budget for twenty fourteen to twenty fifteen it was close to increase its funding involvement and ninety five percent eu co founded project. all of the bailout program will help cyprus to reduce its unemployment levels particularly when it comes to the under twenty five sqm some forty four p

it sparks a debate about the imf and also, guys about, this whole idea about activism and democracy. e seeing more and more of it. >> certainly are. got some very strong views. >> tolerance, tolerance, tolerance. how ironic, by the way, ms. le guard, a woman, first woman head of the imf being denied -- smith college used to be one of the finest women's colleges in america. i also want to take -- condi rice, not going to rutgers, condoleezza rice whether you're a democrat or a republican is one of the great american success stories from nowhere in alabama to huge positions, provost of stanford, national security adviser, secretary of state, that is disgusting. you know who i blame? i blame the presidents of these colleges for their -- >> students of rutgers should protest against their own administration. you know how many missteps rutgers has made in the last 12 months. >> these presidents should come out and say we stand for academic freedom. we stand for freedom of speech and we will not be bullied bay small minority of students. >> here, here. >> i blame the presidents who have no

we have the imf leader. what can we expect? what are people speculating? t want the detail on what is going to be next. if you are comfortable acting in june, what are you comfortable doing? speech iso draghi's pretty much the only game in town. >> they'll quite a bit of data. >> futures are a little higher through the morning. london closed. the u.s. closed. volumes are going to be a touch lighter. the stoxx 600, six weeks of gains. the longest winning streak since november last year. this is your market open. of oneup by a quarter percent. ignore the ftse. that is closed today. italian stocks rally. that is the big gainer through the morning. guess why. matteo renzi. the italian prime minister has the stamp of approval from the italian electorate. if you look at italy on yields down by three basis points. that is significant. theanti-european parties discontent was energized by the underperforming economy through posing the eurozone, some thorny question for central bankers. euro-dollar. the only game in town was for mario draghi's speech. what are they c