Swiss Extremes, Currency Talks, Fed Gets Serious: Eco Day

(Bloomberg) --

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

• In the Swiss canton of Zug, officials are going to extremes to avoid getting penalized by the world’s lowest interest rate
• The White House is looking at rolling out a previously agreed currency pact with China as part of an early harvest deal that could also see a tariff increase next week suspended, according to people familiar with the discussions
• Bloomberg Economics reckons in practice, such a currency pact would probably have limited implications on China’s exchange rate policy -- barring an (unlikely) Plaza Accord type of commitment
• Can a Federal Reserve chair make a promise today that binds their successor in the future? That question is crucial as officials weigh how best to pursue their goals
• Japan, was implementing unconventional monetary policy well before any other peer nation. Now the central bank has again embarked on a daring new experiment - driving certain interest rates higher
• Inflation is receding in Latin America’s two largest economies in a fresh sign of the growth challenge facing their central banks

To contact the reporter on this story: Enda Curran in hong kong at ecurran8@bloomberg.net

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

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