Trade Balance Caveat, Oil Spike, Central Banks’ Limits: Eco Day

(Bloomberg) --

Welcome to Wednesday, Americas. Here’s the latest news and analysis from Bloomberg Economics to help you start the day:

• New data shows President Donald Trump may be poised to deliver on one of his biggest economic promises: Reducing the annual U.S. trade deficit with China and the world. Scratch the surface, though, and that accomplishment comes with plenty of caveats attached
• An oil price spike from tensions between the U.S. and Iran is unlikely to lessen the vice-like grip that lowflation has on the world economy
• Europe’s manufacturers headed into the new year on a downbeat note, with expectations for both export orders and employment weakening at the end of a rough 2019
• Chilean inflation accelerated less than expected in December, with price-growth hitting the central bank target after a wave of social unrest disrupted supply chains
• While recession fears aren’t gripping financial markets like they were a few months ago, Canadian households remain worried the nation’s economy is headed for a downturn
• Outgoing Bank of England Governor Mark Carney said central banks globally are getting close to running out of tools should they need to tackle another serious economic downturn

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