Carney's Warning, China-U.S. Meet Muddle, Split ECB: Eco Day

(Bloomberg) --

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

• Bank of England Governor Mark Carney is running out of opportunities to warn lawmakers just how much a no-deal Brexit will harm the economy. He’s due to appear before the Treasury Committee Wednesday
  • U.K. retail suffered another lethargic month in August with sales on everything but food declining.
• Bank of France Governor Francois Villeroy de Galhau, monetary chief for the euro zone’s second-largest economy, has yet to say whether he thinks the bloc needs a major package including an interest-rate cut and the restart of quantitative easing
• Sweden’s central bank is anticipated to ditch its plan to exit negative interest rates this year in response to mounting evidence of a slowdown in the global and domestic economy
• The pieces are falling into place for Turkey’s central bank to follow its record interest-rate cut with more monetary easing as inflation heads for lows not seen since last year’s currency crash
• Chinese and U.S. officials are struggling to agree on the schedule for a planned meeting this month to continue trade talks after Washington rejected Beijing’s request to delay tariffs that took effect over the weekend
• South Korea’s inflation fell to zero for the first time ever and economic growth was revised slightly lower, further dimming the outlook for an economy already hammered by trade battles
• New Zealand’s slowing economy will likely respond to policy makers’ efforts to rekindle growth and the central bank is unlikely to have to resort to unconventional policy, said the country’s finance minister

To contact the reporter on this story: Jiyeun Lee in Hong Kong at jlee1029@bloomberg.net

To contact the editors responsible for this story: Malcolm Scott at mscott23@bloomberg.net, Jeffrey Black

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