Little Progress From G-20, ECB's Fears, BOJ's Arsenal: Eco Day

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

• As central banks show increasing alarm about the world economy and a willingness to increase stimulus, finance ministers from the Group of 20 nations made little progress in curing the main threat of deepening trade tensions. There was, however, agreement on the need to find a common method to tax technology giants
• Fears are mounting at the European Central Bank that investors are losing faith in the inflation outlook, in a self-reinforcing spiral that could force the institution to dig deeper into its stimulus toolkit
• The ECB will take further steps to support the region’s economy if trade or other risks threaten the economic outlook, Governing Council member Ignazio Visco said
• U.K. manufacturing slumped in April as the boost from Brexit stockpiling evaporated and car factories halted work, boding ill for the economy in the second quarter, figures Monday are expected to show
• Federal Reserve Chairman Jerome Powell and his colleagues face three decisions when it comes to reducing interest rates: whether to do it, when to do it, and by how much
• The Bank of Japan can deliver more big monetary stimulus if necessary, but needs to take care with its side effects on the financial system, said Governor Haruhiko Kuroda

To contact the reporter on this story: Anirban Nag in Mumbai at anag8@bloomberg.net

To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Karthikeyan Sundaram, Devidutta Tripathy

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