German Trade Surplus, ECB on Inflation, U.K. Spending: Eco Day

(Bloomberg) -- Good morning Americas. Here’s the latest news and analysis from Bloomberg Economics to help get your Tuesday started:

• Germany’s trade surplus with the U.S. is showing little sign of buckling under President Donald Trump’s accusations of unfair practices
  • Meanwhile, the U.S. and China have been refining their rhetoric as they dig their heels in on a prolonged trade war
• Unequal wealth distribution is leading some economists to question the U.S. central bank leaders’ love for the New Keynesian model, born of the experience of the 1980s
• The recent acceleration in wage growth in the euro zone is a harbinger of higher future inflation, according to the European Central Bank
• The sweltering summer drove Britons to splurge on food, drink and days away but the boost to retailers may prove short-lived, with higher interest rates expected to hit already fragile consumer confidence, surveys published Tuesday found
  • Meanwhile, a report from Halifax showed U.K. home prices climbed last month, pushing the average value to a record high

• Indonesia is struggling with underemployment even as the jobless rate sits at a decades-low, while India is trying to improve its data collection to better capture the value of unpaid work -- particularly household chores by women
• Australia held its interest rate at a record low as the central bank delivered a more sobering take on the global economy

To contact the reporter on this story: David Goodman in London at dgoodman28@bloomberg.net

To contact the editor responsible for this story: Paul Gordon at pgordon6@bloomberg.net

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