HONG KONG -- A slowing global economy and increasing strain on businesses from a year-long Sino-U.S. trade war are tilting central banks from Japan to Australia toward monetary easing in a remarkable 180-degree turn.
Late last year the debate in Japan was focused on the demerits of printing money and the Reserve Bank of Australia was adamant the next likely move in rates will be up. An emerging market currency selloff was seen forcing externally vulnerable economies such as India, Indonesia and the Philippines to keep tightening their policy rates.
A softer dollar and lower oil prices played an important role in the turnaround. But crucially for Asia, regional growth engine China is having a worse than expected start to the year and is exporting disinflation to the rest of the region. ...
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