SEZIONE DI ROMA III
The parameter $\epsilon'/\epsilon$ describes direct CP violation in the Kaon system. The parameter is highly suppressed in the Standard Model through two mechanisms: 1, the flavour structure of the CKM matrix and 2, a cancellation of electroweak and QCD contributions. In this talk I will discuss the status of the theory prediction of this parameter and its sensitivity to physics beyond the standard model. A particular focus will be on the perturbative side of the calculation that complements recent progress of Lattice QCD.