Fed Past Neutral, Mnuchin on Trade, Aussie Wake-Up Call: Eco Day

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

• The Fed’s benchmark interest rate is now above policy makers’ median estimate of the neutral level in inflation-adjusted terms
• The next round of China-U.S. trade talks gets under way this week with significant issues still unresolved but enforcement mechanisms “close to done,” Treasury Secretary Steven Mnuchin said
• Anyone who still thinks Australia’s economy is an all-conquering model of perfection may get a wake-up call soon, says Daniel Moss
• Spain’s Prime Minister Pedro Sanchez has a message for investors: the economy is in safe hands
• Indonesia plans to relocate its administrative capital from Jakarta, with the move set to take up to a decade and cost $33 billion
• Japanese Emperor Akihito will end his three-decade reign today, voluntarily stepping down due to health concerns in the first abdication of the Chrysanthemum Throne since 1817
• In the 40 years of Iran’s Islamic Republic, 2019 is shaping up to be among the worst for an economy that’s weathered wars, sanctions and oil slumps
• Two key Republican senators expressed misgivings about Stephen Moore’s candidacy for a position on the Fed board amid growing criticism of his past comments
• As Indian Prime Minister Narendra Modi bids for reelection, his party has said his skillful diplomacy on the world stage has increased India’s global stature and brought in a flood of investment
• South African women have benefited more than men from changes in the labor market and education opportunities since the end of apartheid, according to a study published by the UN University
• Millions of British workers are overqualified for their jobs, according to new figures
• Sweden’s central bank wants lawmakers to answer what exactly constitutes legal tender and said that time is running short

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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