ive been trying to find the "black line"
cant. in previous maya versions [when i used it] the manips worked fine.

i dont know why its not working now[for me at least]
in this vid you can see no matter how much i try to rotate on y axis it wont, and it only rotates on 2 axis depending on the object's orientation to the camera. so if the object if facing the yz plane it restrict the rotation to x and z and so on.
https://vimeo.com/5218890