Fed Reassurance, U.S.-China Talks, Draft Brexit Deal: Eco Day

(Bloomberg) -- Happy hump day, Asia. Here’s the latest news from Bloomberg Economics:

  • When Federal Reserve Chair Jerome Powell speaks later today, he may provide some reassurance about pushing the rate-hike cycle too far, according to some analysts
  • The U.S. and China have resumed contact “at all levels” over trade ahead of a planned meeting between Donald Trump and Xi Jinping, White House economic adviser Larry Kudlow said. Meantime, French winemakers are the latest industry to suffer threats from Trump
  • The U.K. and the EU have agreed on a draft divorce deal. Now Prime Minister Theresa May puts it to her Cabinet, where ministers have to decide whether to back it or resign
  • A housing market cool-off may leave consumers unperturbed this time as it sweeps cities where valuations are already at eye-watering levels, according to research
  • Interest rates are on hold in Asia this week as central banks give themselves more time to assess the return of market volatility in emerging markets
  • India’s cash-starved lenders are shackling consumers despite operating in the world’s fastest-growing economy
  • Italy’s populist government is challenging the European Commission, sticking to its budget deficit and growth targets for next year despite protests from Brussels
  • The U.S. recorded a $100.5 billion budget deficit in October, an increase of about 60 percent from a year earlier, as spending grew twice as fast as revenue. The deficit may eclipse projections by $160 billion, according to Tim Mahedy
  • Greece’s central bank is working on a plan to help banks cut their bad debts in half, the latest effort to restore trust in its financial system. Meantime, Germany is opening the door for Greece to put off planned pension cuts, a potential political boost for Prime Minister Alexis Tsipras
  • Zimbabwean consumer prices surged at their fastest pace since a hyperinflationary spiral a decade ago as government policies trigger shortages of everything from fuel to consumer goods
  • Inspiration for RBA’s Phil Lowe? Some might think Karnit Flug didn’t have much to do during her five years as Bank of Israel governor. She cut the benchmark interest rate to a record 0.1 percent in March 2015 and it hasn’t budged since

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