A Japanese national flag flies outside the Bank of Japan (BOJ) headquarters in Tokyo (Photographer: Kiyoshi Ota/Bloomberg)

Trump's EU Truce, China Eases Bank Rule, BOJ Bond Anger: Eco Day

(Bloomberg) -- Welcome to Thursday, Asia. Here’s news from Bloomberg Economics to help get your day started:

  • Back from the brink: President Donald Trump and European Commission President Jean-Claude Juncker agreed to suspend new trade tariffs, pulling the U.S. and Europe back from the edge of a transatlantic trade war
  • Exclusive: Some Chinese banks have received notice from regulators that a specific capital requirement will be eased in order to support lending, as authorities try to mitigate increasing risks to the economy from the trade war
  • South Korea’s economic growth met expectations in the second quarter as exports held up despite global trade frictions
  • As Japanese companies struggle with a severe labor shortage, workers from lower-wage countries in Asia have been filling the gap
  • What shape is Japan’s Phillips curve? If it’s L-shaped, as some researchers say, the implications are significant. Meanwhile, lenders aren’t happy with the Bank of Japan’s purchases of corporate bonds at negative rates

©2018 Bloomberg L.P.