Waiting for Lagarde, Corbyn’s Plan, PBOC Struggle: Eco Day

(Bloomberg) --

Welcome to Wednesday, Europe. Here’s the latest news and analysis from Bloomberg Economics to help get your day started:

• European Central Bank watchers who monitor its every signal to gauge the future of interest rates hope new President Christine Lagarde gives them some clues when she breaks her silence this week
• Poland’s economy won’t be derailed by the global slowdown or smaller inflows of European Union cash, the central bank’s chief forecaster said
• U.K. Labour leader Jeremy Corbyn’s plan to make the top 5% earners pay more income tax could raise less than the party thinks, according to a leading think tank
• Traders should brace for heightened volatility in 2020 as the U.S. presidential election becomes one more reason for investors to hedge. Meanwhile, New York Fed chief John Williams is more attentive to the possibility that the outlook will worsen rather than improve
• Emerging-economy central banks from India to Brazil still have the firepower to shore up the global economy as their peers from developed markets take to the sidelines
• A look inside the People’s Bank of China’s struggle to balance China’s slowing economic growth and its eye-watering debt levels.
• The near-deal between the U.S. and China that fell apart six months ago is being used as the benchmark to decide how much tariffs should be rolled back in the initial phase of a broader trade agreement. Vice President Mike Pence said it would be difficult to sign a deal if demonstrations in Hong Kong are met with violence
• For the first time this year, the Canadian economy is coming in below analyst expectations in a warning signal
• As chaos engulfs Chile, a booming economy suddenly faces a bust

To contact the reporter on this story: Michael S. Arnold in Singapore at marnold48@bloomberg.net

To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Michael S. Arnold, Jiyeun Lee

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