Clarida Sets Easing Scenario, New Cold War, U.S. GDP : Eco Day

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

• The Fed is prepared to ease monetary policy if it sees mounting risks to the U.S. expansion, Vice Chairman Richard Clarida said while stressing the economy is in a “very good place”
• As the U.S. and China clash over everything from trade to technology, investors are bracing for a protracted superpower conflict. Meantime, Donald Trump and Theresa May plan to discuss Huawei during his state visit to London
• U.S. economic growth was revised down by less than expected amid stronger consumption and exports, suggesting the expansion was on a firmer footing before Trump’s trade war escalation
• Indian Prime Minister Narendra Modi’s biggest economic challenge as he starts his second term will be how to boost flagging growth
• With the Bank of Korea expected to leave its key interest rate unchanged, the focus will be on Governor Lee Ju-yeol’s outlook and whether he faces dissenting calls for a rate cut
• Investor focus on who will succeed Mario Draghi at the ECB may be missing the broader challenges the institution is set to face
• Bank of Canada officials continue to characterize the country’s economic performance as “solid,” despite a recent soft patch they believe is only temporary
• A renewed sell-off in the Argentine peso or the Turkish lira would put not just their emerging-market counterparts at risk, but many in the developed world as well, says Goldman Sachs
• Africa, largely ignored in a U.S.-China trade war that could roil economies worldwide, is quietly piecing together the world’s largest free-trade zone

To contact the reporter on this story: Michael Heath in Sydney at mheath1@bloomberg.net

To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Chris Bourke

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