Trump Hectors Fed, Tariff Man's End-Goal, FX Failure: Eco Day

(Bloomberg) -- Welcome to Wednesday, Asia. Here’s the latest news and analysis from Bloomberg Economics to help get your day started:

  • President Donald Trump called on the Fed to “match” what he said China would do to offset economic hardship being caused by tariffs
  • Trump has repeatedly portrayed the tariffs he’s imposed on China as tools to create leverage. Increasingly, however, they’re looking like an end-goal
  • China may be reluctant to commit to a deal with the U.S. that limits its flexibility on foreign-exchange rates. Tom Orlik explains why the yuan won’t be used as a weapon in the trade war
  • Fed officials are sticking with their pledge for patience on interest rates, shrugging off Trump’s escalating trade war and his pressure for a cut. Morgan Stanley, meanwhile, says an extended dispute might lead to a 50 basis-point Fed cut
  • Germany, Italy and Spain have all been winners from almost a decade of falling interest rates, while France has been a net loser
  • India’s consumers are being tested after helping drive the fastest-growing major economy. Finding an ATM in India is getting tougher even as dependence on cash persists
  • Electronics titan Taiwan is helping its companies to seek out new Asian manufacturing hubs outside China as U.S. tariffs threaten to splinter the global tech supply chain
  • New Zealand net immigration is rising at a slower pace than previously thought

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