China Debt Dilemma, U.S. Inflation, Turkey Rate Shock: Eco Day

(Bloomberg) -- Happy Friday, Asia. Here’s the latest news from Bloomberg Economics:

• Ten years ago, China shielded itself from the financial crisis with a wall of stimulus. Now, such self-preservation looks much harder to repeat; on the corporate front, debt-servicing firepower has slumped
• Underlying U.S. inflation unexpectedly cooled in August, suggesting little urgency for the Federal Reserve to speed up rate hikes. We dug a bit deeper to look at some of the more quirky data
• Meanwhile, the plateau in CPI vindicates the Fed’s gradualism, argues Carl Riccadonna
• Turkey’s central bank raised rates by the most since Recep Tayyip Erdogan came to power 15 years ago. Meanwhile, Bank of England chief Mark Carney warned that a no-deal Brexit could mean rate hikes
• The Bank of Japan’s newly introduced forward guidance was drafted with overseas investors in mind, reflecting an effort to avoid any sharp market reactions
• You only need to drive an hour out of Beijing to find an example of the Chinese property frenzy gone pear-shaped
• Trump’s trade war with China is following an increasingly predictable pattern; Indeed, he’s swaggering ahead of possible new talks
• Mario Draghi insists that the European Central Bank can keep paring back monetary support; he also upped his warning for governments to keep their debt in check; meanwhile, the bank apparently is in no rush to decide on policy for 2019
• The IMF backed Indonesia’s response to a selloff in its currency; Still, with the rupiah near a two-decade low, foreign investors are dumping the nation’s bonds
• The U.S. is working on a second, more punishing round of Russia sanctions to be imposed in November for its U.K. nerve-agent attack
• Why the world won’t have the same weapons to fight the next financial crisis

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