Euro-area Stimulus, U.S. Growth, Currency Battles: Eco Day

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

  • Euro area governments couldboost the region’s economy by as much as 1.5% — or next to nothing — depending on how they spend a groundbreaking stimulus package, according to European Central Bank research
  • The U.K. estimates about300,000 people will leave Hong Kong for Britain under a new special visa. Meanwhile, the Chinese territory faces a tough road ahead after arecord slump
  • In the battle against Covid-19, governments around the globe are on the cusp of becomingmore indebted than at any point in modern history, surpassing even World War II
  • The U.K.’s five main business lobby groups said British companies face “substantial”post-Brexit difficulties in trading with the European Union
  • U.S. economic growthmoderated to 4% in the last quarter of 2020
  • New U.S. Treasury Secretary Janet Yellen faces a“currency war” redux as she rejects a return to traditional strong-dollar policy
  • At least one-fifth of Oxford Street, London’s main shopping thoroughfare, will be “boarded up withno hope of recovery” when the latest lockdown ends, according to an influential lobby group
  • Belt tightening in China isholding back consumer spending, Bloomberg Economics analysis shows
  • The Bank of Japan’s board is seen to be mulling ways to allow more yield moves. Meanwhile, a drop in Japan’sfactory output underscores a weakening recovery
  • For the first time in 30 years Taiwan’s gross domestic product probablygrew faster than China’s, due to its early control of the virus and stellar export performance

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