Fed's Inflation Problem, Trade Backdrop, European Spurt: Eco Day

(Bloomberg) -- Good morning Amercias. Here’s the latest news and analysis from Bloomberg Economics to help get your day started:

  • There’s a flaw at the heart of central banking’s approach to inflation targeting that’s become a hot issue for the Federal Reserve as it takes a long, hard look at its strategy
  • A swath of weak economic data in Asia is greeting U.S. and Chinese negotiators as they return to the table for trade talks in Beijing this week
  • Rust Belt workers in the U.S. are getting an earful from former Vice President Joe Biden amid early campaign challenges to President Donald Trump’s re-election
    • Meanwhile, American farmer income is feeling the pain from U.S.-China trade tensions
  • Europe’s economy began 2019 with an unexpected growth spurt as Spain outperformed and Italy shook off a recession, easing pressure on the European Central Bank to add stimulus
  • Retailers are bearing the brunt of the U.K.’s economic uncertainty as households pulled back from making big purchases, surveys published Tuesday indicated

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