Chinese Spending, Aussie Property Bet, U.S. Slump Over? Eco Day

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

  • Chinese consumers are finally starting to spend again after the pandemic-induced slump, but the recovery is unbalanced and overly reliant on luxury goods, with poorer Chinese still cautious
  • Australian pension funds are embarking on build-to-rent property investments as a hunt for yield and lower taxes encourage them to look past the deteriorating rental market
  • The panel of elite economists who judge the dates of U.S. recessions is finding that declaring an end to the downturn is tougher than calling its start. A parade of Fed officials Wednesday stressed that more fiscal stimulus is critical to sustaining the economic recovery
  • Thai protesters plan to hit the streets again as lawmakers decide on a pathway to amend the constitution
  • Small businesses in India, already struggling amid the pandemic, are having to repay mounting debt after a loan holiday ended last month
  • Fed Vice Chairman Richard Clarida said it won’t raise interest rates until it achieves 2% inflation for a few months and full employment. The Fed was alarmed mid-March when cash was pulled from prime money-market funds, one of the safest places to park funds
  • The Philippine government is trying to retrain hundreds of thousands of Filipino workers who are returning jobless from overseas
  • SNB President Thomas Jordan has taken his foot off the pedal after the most aggressive currency intervention in five years
  • Just one week after the Fed set the tone for the world by cementing in a low interest rate for the foreseeable future, Norway’s central bank might be about to emphatically differ
  • Counting on China as an anchor of strength has been a good tactic for traders of Asia’s emerging currencies. That link is losing traction as recovery paths from the coronavirus pandemic diverge

©2020 Bloomberg L.P.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.