Biarritz to Jackson Hole, Swiss Rates, Daly's Recession: Eco Day

(Bloomberg) --

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

• The leaders of the world economy convene this week 8,000 kilometers apart, with the same thing on their mind: What more stimulus is needed to support the weakest global growth since the financial crisis?
• The Swiss National Bank has a new way of enforcing the world’s lowest interest rate
• Spending to grow its economy may be Israel’s solution to budgetary woes, according to Finance Minister Moshe Kahlon
• U.K. Prime Minister Boris Johnson is seeking to rally support for former Finance Minister George Osborne to become the next head of the International Monetary Fund, according to a person familiar with the matter
• South Korea’s exports are on course for a ninth straight monthly decline as trade battles and slowing economic growth worldwide raise fears of a global recession
• The U.S. economy doesn’t appear headed toward a recession, San Francisco Fed chief Mary Daly says, while Barclays economists now project three additional quarter-point cuts by the Fed in 2019
• Europe’s shaky union is set to face a stress test from President Donald Trump at the G-7 summit. Germany’s tentative steps toward a fiscal stimulus program signal the nation could be in for an unusually severe slump
• Bloomberg Economics writes that China’s approved infrastructure investment picked up in July, in line with accelerated issuance of special government bonds
• Argentina promised to use “all available tools” to stabilize the peso after last week’s rout, while the International Monetary Fund said it will sending a delegation to visit the country soon

To contact the reporter on this story: Enda Curran in Hong Kong at ecurran8@bloomberg.net

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

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