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Analysis: Fed Rate Cut Could Drive Emerging Markets to Loosen Monetary Policy

Summary: According to sources, TS Lombard analyst Jon Harrison stated that the high expectations for the Federal Reserve to resume rate cuts will help emerging markets relax their monetary policies. Harrison mentioned that in the short term, the Fed rate cut will provide an excuse for emerging market central banks to further ease policies. He added ...

According to sources, TS Lombard analyst Jon Harrison stated that the high expectations for the Federal Reserve to resume rate cuts will help emerging markets relax their monetary policies. Harrison mentioned that in the short term, the Fed rate cut will provide an excuse for emerging market central banks to further ease policies. He added that this relief will come at a time when growth recovery is still fragile, real interest rates remain relatively high, and tariff uncertainties continue to threaten some emerging economies.

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