Spain Joblessness, China Chill in Italy, Bank of Korea: Eco Day

(Bloomberg) --

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

• Spain can’t seem to shake one of the world’s highest unemployment rates
• The IMF and World Bank signaled they may reconsider meetings scheduled for mid-April in Washington amid the coronavirus’ spread
• Italy’s China chill is deeper than just fears around the coronavirus
• Germany’s finance minister is considering a move that could open an avenue for limited fiscal stimulus in Europe’s largest economy
• Boris Johnson will put the U.K. on collision course with the European Union on Thursday when he lays out his government’s red lines before talks start on a post-Brexit trade agreement
• In a surprise decision, the Bank of Korea kept its benchmark interest rate on hold at a record low amid mounting evidence of an economic hit from the virus
• Australia’s reliance on China is backfiring as the virus outbreak threatens businesses and universities
• Former Fed chair Janet Yellen says the virus could throw the U.S. economy into recession; meanwhile, data for U.S. new-home sales looked good in January, rising at the strongest pace since mid-2007
• Amid all the epidemic uncertainties, here’s a Bloomberg Economics take on how to track the economic impact of the virus
• Mexico’s central bank slashed its growth forecast and said it will take longer than expected for inflation to slow to target, suggesting policy makers have limited room to lower borrowing costs to stimulate the economy

To contact the reporter on this story: Michelle Jamrisko in Singapore at mjamrisko@bloomberg.net

To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Michael S. Arnold

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