Fed Rates Outlook, WTO Tariffs, 24 Tons of Beetroot: Eco Day

(Bloomberg) --

Welcome to Thursday, Americas. Here’s the latest news and analysis from Bloomberg Economics to help get your day and week started:

• One of the Federal Reserve’s more dovish policy makers doesn’t see the need to lower interest rates again, arguing that two recent cuts should be enough to lift inflation above the central bank’s 2% target
  • The Fed should consider increasing its balance sheet by $250 billion over the next two quarters through outright purchases of Treasury securities to help diminish the risk of future money market turmoil, two former U.S. central bank officials said
• The WTO will authorize the U.S. to impose tariffs on nearly $8 billion of European goods due to illegal state aid provided to aircraft maker Airbus SE. Look for the European Union to respond in kind
• In more negative news for Europe, Germany’s economy probably shrank again this quarter, tipping it into recession, according to the DIW institute
• To imagine the dilemma U.K. companies face when preparing for Brexit, think about 24 tons of beetroot
• Bulgarian economist Kristalina Georgieva secured the top job at the IMF, Italian central banker Fabio Panetta is poised to become one of the European Central Bank’s top policy makers, and Sabine Lautenschlaeger resigned from the ECB board following President Mario Draghi’s latest stimulus drive
• Greece’s new prime minister wants to reduce taxes and improve the investment climate as he attempts to turn the page on the crisis era
• A mammoth Chinese stimulus program helped see the world economy through the global financial crisis. Now, with global growth slowing again, China is the only one of the big three economies not putting the pedal to the metal
  • Early indicators show the globe’s second-biggest economy weakened across the board this month
• Americans who move see green: People born in a different state than their state of residence enjoy a median annual income that is more than $5,700 higher than people who reside in their birth state

To contact the reporter on this story: Lucy Meakin in London at lmeakin1@bloomberg.net

To contact the editors responsible for this story: Paul Gordon at pgordon6@bloomberg.net, Brian Swint

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