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

To contact the reporter on this story: David Goodman in London at dgoodman28@bloomberg.net

To contact the editors responsible for this story: Fergal O'Brien at fobrien@bloomberg.net, Brian Swint

©2019 Bloomberg L.P.