Bloomberg Daybreak: Europe Edition Daybreak Weekend: Fed Meeting, Europe Central Bank Decisions, Takaichi-Trump Meeting
Mar 13, 2026
Alistair Gale, Bloomberg reporter on Japan covering security and economic policy, and Anna Wong, Bloomberg Economics chief U.S. economist, discuss Fed policy, inflation forecasts and labor market risks. They also cover ECB/BoE decisions and how rising oil and the Middle East conflict shape central bank choices. Takaichi’s Washington visit and Japan’s energy and defense priorities are previewed.
AI Snips
Chapters
Transcript
Episode notes
Why Higher Oil Can Raise Headline But Lower Core Inflation
- The Fed will likely sharply raise its headline PCE inflation forecast while core PCE may fall, making easing still plausible in 2024.
- Anna Wong argues $80 oil lifts headline CPI but acts as an income shock that reduces core spending and could lower core PCE over time.
Labor Weakening Could Force Fed To Pivot
- Markets are downshifting expectations for Fed rate cuts, but Anna Wong still expects easing later in the year as labor weakens.
- She expects unemployment to rise quickly in spring, shifting the Fed's focus from inflation to labor by June.
Use This Week's Results To Gauge Consumer Resilience
- Watch individual earnings that signal consumer strength: FedEx, Macy's, and Lululemon will reveal margin and consumer-segmentation trends this week.
- Denitza Sokova highlights FedEx's cost cuts, Macy's comparable sales expectations, and Lululemon's activist pressure and guidance caveats.