Draghi D-Day, U.S. Tariff Delay, Trump Negative Rates: Eco Day

(Bloomberg) --

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

• Mario Draghi faces one of the most contentious policy meetings of his European Central Bank presidency on Thursday as he prepares to ramp up monetary stimulus again despite skepticism from the euro area’s biggest economies
• Don’t just blame President Recep Tayyip Erdogan if Turkey’s central bank decides again to err on the side of lowering interest rates more than anticipated today
• President Donald Trump delayed the start of October’s tariffs by two weeks and China’s considering whether to renew imports of U.S. agricultural goods. Those gestures may pave the way for the trade talks scheduled for early October in Washington. But it’s prudent to be skeptical that this gesture will lead to a breakthrough, according to Bloomberg’s Chang Shu
• Federal Reserve Chairman Jerome Powell and his colleagues are loath to follow Europe and Japan into negative interest rate territory -- no matter what Trump might want
• Meanwhile, Trump triggered a swift and skeptical reaction with his demand Wednesday for the Fed to lower rates “to zero, or less”
• Argentina’s presidential front-runner Alberto Fernandez should hold a press conference sometime today -- that’s an opportunity to clarify his views about the economy, writes Adriana Dupita
• Thailand’s effort to revive economic growth with more than $10 billion of stimulus faces an obstacle from its surging currency
• Malaysia’s central bank is likely to keep interest rates unchanged today, although pressure is building for more easing as U.S.-China trade risks continue to rage

To contact the reporter on this story: James Mayger in Beijing at jmayger@bloomberg.net

To contact the editors responsible for this story: Jeffrey Black at jblack25@bloomberg.net, Karthikeyan Sundaram

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