U.K. Survival Blueprint, Trade Cost, India Virus Battle: Eco Day

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

  • Rishi Sunak set out a 30 billion-pound ($37.6 billion) blueprint to save jobs and inject confidence into the U.K.’s economy. In a statement to Parliament, the Chancellor of the Exchequer announced tax cuts on home-buying and dining out, and a new bonus program for employers who don’t fire their staff
  • Escalating U.S.-China tensions mean fresh barriers to trade, capital, and people flows are poised to add a drag on growth, and one that will stay in place no matter who wins the November presidential election, writes Bloomberg’s Tom Orlik
  • India’s soaring coronavirus numbers are threatening its economic recovery and sharpening differences between states and Prime Minister Narendra Modi’s federal government
  • Joe Biden will call for a moderate approach toward reviving the U.S. economy if elected president, shelving for now the more ambitious proposals pushed by progressive Democrats, people familiar said
  • Federal Reserve Bank of Cleveland President Loretta Mester said recent data on the reaccelerating spread of the coronavirus in the U.S. has raised additional downside risks for the economic recovery
  • Top European Central Bank officials have suggested in recent days that the euro-area recession might not be as deep as previously feared, with President Christine Lagarde signaling that she’s in no rush to ramp up monetary stimulus again
  • Japan has begun requesting some nightlife establishments to suspend their businesses in return for monetary compensation, signaling the nation is stepping up its fight against coronavirus outbreaks
  • Justin Trudeau’s government said it will run a budget deficit equivalent to nearly 16% of economic output, a level not seen since World War II, in a race to safeguard Canada from its deepest recession in almost a century
  • Australia’s second-largest city’s six-week stay-at-home order came into force at midnight as it battles to contain a second virus wave. Hundreds of businesses across Melbourne fear the impact this time will be worse

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