Price Rowe Price analyst Blaina Urusi said in a note that the Federal Reserve's policy is likely to remain unchanged in the near term, but the outlook for 2025 is more uncertain. "Traditionally, once the executive branch announces fiscal policy, the Fed takes it into account," the US economist said. Mr. Urusi said the FOMC was expected to recognise at its December meeting increased uncertainty about the economic and inflation outlook, which would affect the future path of monetary policy.
William Blair emerging markets debt team head Marcelo Assalin said that the expected Trump election victory should lead to weak global economic growth and a brief spike in inflation. Possible tariffs will also weigh on trade, and major economies with large trade surpluses with the United States will likely be affected first. To offset higher tariffs and the fragility of the global economy, Marcelo Assalin and his team expect the global monetary policy response to accelerate, triggering a decline...