An empty desk sits ahead of a news conference following a Federal Open Market Committee (FOMC) meeting in Washington, D.C. (Photographer: Andrew Harrer/Bloomberg)

Fed Hawkish Tilt, Trump's Trade Leverage, EU Inflation: Eco Day

(Bloomberg) -- Welcome to Tuesday, Asia. Here’s the latest news from Bloomberg Economics:

  • Carl Riccadonna explains Bloomberg’s Fed spectrometer and how it finds a hawkish tilt at the FOMC ahead of this week’s meeting. Do you dot plot? If not, here’s a quick overview to understand the next Fed forecast
  • Tom Orlik weighs up who has more leverage in the U.S.-China trade war and finds its probably Trump, for now. The U.S. and China are digging in for what could be a long and bruising fight, testing the resilience of the strongest global upswing in years
  • Mario Draghi sees a “relatively vigorous” pick up in underlying inflation, signaling the European Central Bank is on track to raise interest rates late next year
  • Trump and his South Korean counterpart signed a renegotiated free-trade agreement, marking the first time the U.S. president has finalized a major trade deal since entering office. Meantime, at the UN, leaders from Latin America, Africa and Asia expressed concerns about rising tensions between the world’s two largest economies
  • Indonesia is ramping up efforts to shield the rupiah from a global rout that’s rattling emerging markets. Argentine President Mauricio Macri said a revised agreement with the IMF will help shore up investor confidence in his country
  • German Chancellor Angela Merkel warned EU leaders against taking an excessively harsh line over Brexit -- but French President Emmanuel Macron turned up the heat

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