U.S.-China Deal, Dollar Strength, Aussie Credit Squeeze: Eco Day

(Bloomberg) -- Welcome to Monday, Asia. Here’s the latest news and analysis from Bloomberg Economics to help get your day started:

• The U.S. and China are close to a trade deal that could lift most or all tariffs as long as Beijing follows through on pledges ranging from better protecting intellectual-property rights to buying a significant amount of American goods
• President Donald Trump says the U.S. dollar is too strong and took a swipe at Federal Reserve Chairman Jerome Powell as someone who “likes raising interest rates”
• Australians are borrowing and spending less at the same time as firms are hiring and investing more, creating a conundrum for policy makers trying to ascertain just what the economy requires
• The inflation outlook is looking dismal for the Bank of Japan as cheaper oil and falling mobile phone charges threaten to push price growth toward zero by mid-summer
• President Xi Jinping’s three key battles are set out in six charts here ahead of a gathering of China’s political leaders to detail policy priorities for the year
• Central bankers across Europe are finding that the golden era in which they were revered has passed as they’re increasingly the whipping boys of elected officials. The ECB enters the week under pressure to join counterparts in taking an easier policy approach
• Indonesia is going all out to strike trade pacts with a dozen countries and blocs as the U.S.-China dispute hurts shipments and threatens to worsen a current-account deficit
• The Turkish government’s campaign of threats, fines and deep discounts to curtail runaway food inflation appears to be paying off. Meanwhile, Iran is combining six local banks as President Hassan Rouhani looks to curb the military’s role in the economy

To contact the reporter on this story: Michael Heath in Sydney at mheath1@bloomberg.net

To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Chris Bourke

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