Getting more complicated

Follow Us Get the newsletter Iran has called it "nuclear terrorism" designed to derail global talks aimed at reviving a landmark 2015 accord. The Islamic Republic laid the blame for a weekend cyber-attack that caused a power grid malfunction at its largest uranium enrichment facility in Natanz at the feet of Israel, saying its arch-rival had sabotaged the plant. Israel has been silent so far. The talks, which involve the remaining parties to the Joint Comprehensive Plan of Action – including Iran, China, Russia, and some European nations — are due to resume on Wednesday in Vienna and will focus on a possible U.S. return to the deal that curbed Iran's atomic activities in return for sanctions relief. They come against a backdrop of heightened tensions in the energy-producing Persian Gulf, where Iran and proxy groups have been blamed by the U.S. and its allies for attacks on tankers and Saudi energy installations. Iran has also accused Israel of targeting its shipping and killing prominent Iranian atomic scientists. The Natanz incident could also outweigh a positive for the nuclear talks — separate discussions between South Korea and Iran in Tehran over $7 billion of Iranian oil revenue trapped in Seoul by U.S. sanctions. President Joe Biden said he would return the U.S. to the deal if Tehran resumes complying with it, but that is not the only hurdle to overcome. A presidential election in Iran in June may prove just as pivotal, with a field that's set to be dominated by conservatives who may not be willing to reinstate the pact. This latest attack may just play into their hands. — Sylvia Westall The nuclear talks at the Grand Hotel on April 6 in Vienna. Photographer: Handout/Getty Images Europe Check out all our biggest stories on the Bloomberg Politics web page here and tell us how we're doing or what we're missing at balancepower@bloomberg.net. Global Headlines Navigating hurdles | Democrats begin planning today how to maneuver Biden's $2.25 trillion spending and tax proposal through both houses of Congress with their razor-thin majorities. In addition to that program, Biden is expected to ask for another massive investment in initiatives focused on health and families. Administration officials meet today with chief executives from companies ranging from General Motors to Google to figure out how to relieve a shortage of semiconductors that's idled automakers worldwide. Brexit boost | An increasing number of British voters view the European Union as acting like a bitter ex in clashes with the U.K. over Covid-19 vaccines in the 100 days since Britain completed its divorce from the bloc. A Bloomberg poll shows support for Brexit has grown since the 2016 referendum, with almost two-thirds of adults believing that being outside the EU aided the U.K. vaccination program. Horse race | Angela Merkel's Christian Democratic Union signaled its broad support for party chairman Armin Laschet as the candidate for Germany's conservative bloc in September's election. The move sets up a potential clash with its smaller Bavaria sister-party, the CSU, whose chairman Markus Soeder also wants to be a contender to replace Merkel. Anti-coup protesters shoot slingshots and throw stones at security forces on March 28 in Yangon. Source: Getty Images Myanmar's economy is in free fall after a group of generals seized power on Feb. 1, with the World Bank projecting it will shrink 10% in 2021, by far the worst in Asia. The junta has killed hundreds of civilians, driving away foreign investors as western nations put on new sanctions. Looming large | When diplomatic emissaries of the Group of Seven nations met virtually last month to prepare the ground for the leaders summit in June, one problem cropped up over and over again: what to do about China? As Alberto Nardelli reports, officials discussed issues including human rights, trade and climate change and, according to a diplomat's account of the meeting, Beijing was a factor in almost all of it. Shaky transition | Heng Swee Keat's decision to step aside as designated successor to Prime Minister Lee Hsien Loong — he cited his age as a factor — is testing Singapore's reputation for predictable political handovers. Faris Mokhtar exclusively reports that party insiders privately expressed concerns about Heng after last year's election, worrying he lacked the charisma to rally the country during one of its most challenging periods even as they viewed him as a brilliant administrator. What to Watch This Week Career banker Guillermo Lasso won Ecuador's presidential election runoff after a late surge in the polls, reassuring bondholders in the default-prone country. Peru is heading to a runoff in June after early results showed no presidential candidate got anywhere close to the votes needed to win outright. Japanese Prime Minister Yoshihide Suga will meet Biden on Friday in Washington, the first foreign leader to see the president in person since he was inaugurated in January. Eastern European countries are easing lockdown measures to mollify their citizens, even as the region remains the world's most deadly area for the coronavirus pandemic. India's Prime Minister Narendra Modi is set to address election rallies in the state of West Bengal Friday, even as health officials warn against mass gatherings as Covid-19 cases surge to record levels. Correction: We gave the wrong figure for Biden's $2.25 trillion infrastructure program in Friday's newsletter. Apologies for the error. Thanks to the more than 70 people who answered our quiz on Friday and congratulations to Floris Francesco, who was the first to name Greenland as the territory where voters ousted a government that was planning to welcome foreign companies eager to tap its rare-earth metals. And finally ... Imagine Mark Zuckerberg and Tim Cook saying thank you to regulators if they faced penalties on Facebook or Apple. But that's exactly what happened when Chinese authorities imposed a record antitrust fine on Alibaba. As Coco Liu reports, it's a sign of how China's crackdown on the power of big tech is out of the ordinary.     Like Balance of Power? Get unlimited access to Bloomberg.com, where you'll find trusted, data-based journalism in 120 countries around the world and expert analysis from exclusive daily newsletters.   You received this message because you are subscribed to Bloomberg's Balance of Power newsletter. Unsubscribe | Bloomberg.com | Contact Us Bloomberg L.P. 731 Lexington, New York, NY, 10022