Fed’s Easing Break, German Optimism, Draghi’s Exit: Eco Day

(Bloomberg) --

Good morning Americas. Here’s the latest news and analysis from Bloomberg Economics to help take you into the weekend:

• Federal Reserve officials will signal they’re likely to take a break from cutting interest rates after lowering them again next week, according to a majority of economists surveyed by Bloomberg
• German business expectations improved in October from a decade low, a cautious sign that Europe’s largest economy may have stopped deteriorating at the start of the fourth quarter
• Mario Draghi’s reign as European Central Bank president is ending much like that of his predecessor -- with a plea for fiscal coordination to fix a monetary union that’s incomplete without it
  • Meanwhile, the latest ECB survey of professional forecasters saw a morose assessment of the euro-area economy, with expectations for inflation and economic growth cut across the board
• The side effects of the ECB’s ultra-expansionary monetary stance could eventually force policy makers to renounce a pledge to keep rates low, according to Governing Council member Pierre Wunsch
• The Bank of Russia sped up the pace of monetary easing with a rare 50 basis-point rate cut after inflation showed signs of dropping well below a 4% target
• A trio of Asian central banks that weathered the global financial crisis without having to resort to unorthodox measures now confront the prospect that they might have little alternative if their economies get any worse
• The Bank of Japan is considering refraining from extra stimulus at its October meeting but will look for a fresh way to show its readiness to take action
• U.S. farmers may return to pre-trade war levels of sales to China in time for the presidential election year, relieving economic pressure on one of Donald Trump’s key political constituencies
• Finally, here’s a rundown of Bloomberg Economics’s big reads from this week

To contact Bloomberg News staff for this story: David Goodman in London at dgoodman28@bloomberg.net

To contact the editors responsible for this story: Paul Gordon at pgordon6@bloomberg.net, Lucy Meakin

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