ECB Policy Shift, Ships Sailing, Biden’s Policy Unveil: Eco Day

Welcome to Tuesday, Europe. Here’s the latest news and analysis from Bloomberg Economics to help you start the day.

  • The European Central Bank must be cautious when it shifts away from its emergency stimulus even if the economy rebounds from the pandemic as predicted, policy maker Vitas Vasiliauskas says
  • A nearly week-long saga to dislodge a giant container ship stuck in the Suez Canal ended, with the vessel freed and traffic resuming. Authorities expected operations to return to normal within days, but the event has revealed an Achilles’ heel for global trade
  • President Joe Biden will unveil the framework for a major infrastructure-and-jobs program on Wednesday in Pittsburgh, and later in the week offer the first glimpse of his 2022 budget
  • Italy’s budget deficit is likely to be close to 10% of GDP for a second year as successive lockdowns force the country to boost spending
  • Japan’s retail sales beat economists’ estimates and ended a two-month losing streak even as businesses continued to operate under reduced hours amid a state of virus emergency in the country’s biggest cities
  • Australia’s economic output has rebounded to close pre-pandemic levels, but the country’s slow pace in delivering Covid shots could temper the rebound, Bloomberg Economics’s James McIntyre writes
  • Chinese sovereign bonds will have the sixth-largest weighting in FTSE Russell’s flagship World Government Bond Index, though global investors have longer than initially estimated to grow their holdings to that level
  • Australian workers’ shift to working-from-home looks set to become more permanent, with the popularity of the arrangement rising even as workplaces reopen
  • India’s consumption demand and business activity looked steady, although chances of a strong recovery appeared doubtful amid a surge in virus cases and the risk of renewed lockdowns

©2021 Bloomberg L.P.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.