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China Demands Trump Disarm, Global Recovery, Delhi Smog: Eco Day

Michael Heath

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

China is setting its price for signing an interim trade deal with the U.S.: drop the tariffs. The question is whether Donald Trump will pay it. Trade between the two economies nosedived in September after Trump escalated protectionist measuresThe worst may be over for the world economy’s deepest slowdown in a decadeBusiness travelers and tourists are avoiding New Delhi, as air pollution in India’s capital reached record levelsIndonesia isn’t benefiting the way it should from trade war tensions and with demographics that could be a ticking time bomb, the stakes are high for this to be turned aroundThailand’s battle to keep its surging currency at bay is increasing the odds of a second interest-rate cut this yearDallas Fed chief Robert Kaplan is taking comfort from the recent steepening in the yield curve and sees it as a sign that policy is in the right placeMidwestern states that were key to Trump‘s victory in 2016 are likely to see an economic downturn early next year that could affect his re-election chancesRecent labor-market data decisively dispel any notion of a near-term downturn in U.S. growth, writes Yelena ShulyatyevaNew Zealand unemployment increased more than economists expected in the third quarter as hiring and wage growth slowedHaruhiko Kuroda has stepped into the global debate on the need for governments to do more heavy lifting to support their economies, saying that the ultra-low rate environment created by Japan’s central bank makes fiscal spending more powerfulThe answer to renewable energy’s biggest challenge is emerging in the Australian outback

To contact the reporter on this story: Michael Heath in Sydney at mheath1@bloomberg.net

To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Jason Clenfield

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