FX Manipulator No More, U.S.-EU Brawl, Stagflation: Eco Day

(Bloomberg) --

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

• The Trump administration lifted its designation of China as a currency cheat, saying the nation has made “enforceable commitments” not to devalue the yuan and has agreed to publish exchange-rate information
  • China’s export juggernaut last year showed it can be nimble, quickly diversifying into new markets to cushion the impact of Donald Trump’s tariff onslaught
• The European Union’s new trade chief will be in Washington for the next three days trying to head off a transatlantic commercial war on several fronts. The prospects for success look slim
• Sentiment among U.S. small businesses unexpectedly cooled at the end of 2019 after climbing to a four-month high in November
• A rejuvenated U.S. housing market will help keep the economy chugging along despite the threat posed by a derailment in corporate spending
• Swiss National Bank President Thomas Jordan is finding it’s hard to revert to normal monetary policy without risking an unwanted appreciation of the franc
• In the U.K., the Bank of England’s dovish shift in the past week has already rippled through markets, and now economists are starting to react too
• Just two years ago, India’s economy was expanding 8%, spurring optimism it on a path to become a major global growth driver. Now, stagflation looms

To contact the reporter on this story: Lucy Meakin in London at lmeakin1@bloomberg.net

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

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