Fed on Track, Putin vs Europe, China’s Lower GDP Target: Eco Day

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Welcome to Friday, Asia. Here's the latest news and analysis from Bloomberg Economics to help take you through to the weekend.

Fed Chair Jerome Powell reaffirmed the U.S. central bank is on track to raise interest rates this month and undertake a series of hikes
- Wall Street's biggest banks are sticking by their calls for as many as seven Fed rate hikes this year
- The rapid wage growth U.S. workers have come to enjoy -- and left businesses scrambling -- isn't retreating soon
- Initial U.S. jobless claims continued to fall amid an acute shortage of workers, Bloomberg Economics notes
- Two studies published by the New York Fed this week cast doubts on the need for fast and aggressive tightening
The European Central Bank is set to take a timeout from plotting its exit from stimulus as it assesses the damage Russia's war in Ukraine could inflict on the continent's economy
- Russia's invasion of Ukraine could mean ECB hikes are off the table
- The European Union wants to rescind Russia's most-favored nation status at the World Trade Organization
- Sanctions on Russia have lit the fuse on four intersecting crises, according to Bloomberg Economics
- Ukraine says international aid will likely exceed $15 billion
- China will probably announce its lowest economic growth target in more than three decades when top leaders gather Saturday
  - China's Covid stance left a $280 billion tourism black hole
  - Powell says Russia's actions could accelerate China's moves to develop an alternative payments infrastructure
  - South Korea's inflation unexpectedly accelerated as rising costs weigh on voters ahead of next week's presidential election
  - New Zealand Finance Minister Grant Robertson is bracing for slower economic growth and faster inflation as he prepares his budget
  - Bank of Japan policy makers are increasingly emphasizing the significance of higher wages
  - Bloomberg Economics sees upside risk to its end-June forecast of 10.5% for the State Bank of Pakistan's policy rate
  - The Bank of Canada expects its balance sheet to shrink quickly