ECB's Toolbox, Central Banker Doubts, Trudeau's Warning: Eco Day

(Bloomberg) -- Happy Wednesday, Europe. Here’s news from Bloomberg Economics to help get your day started:

  • Battle hardened. The European Central Bank has a decade of crisis-fighting experience to draw on to confront market turmoil in Italy
  • Yet just when central bankers thought they were about to get out of the business of emergency economic stimulus, jittery markets are a threat
  • In the U.S., prices and wages have been slow to accelerate throughout the economic expansion. Now, a new conundrum threatens to emerge: Faster inflation accompanied by more of the same paltry growth in pay
  • Canadian Prime Minister Justin Trudeau warned that U.S. government borrowing is not sustainable and divisive social policies will ultimately exacerbate tensions that will disrupt American business profitability
  • Meantime, China’s economy is resisting a slowdown, early indicators show, as state efforts to curb financial excess and deflate property bubbles run up against greater pricing power and strong global trade
  • For Indonesia’s new central bank chief, politics will play a key role in Wednesday’s interest-rate decision as he tries to stem a currency rout

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