- The Federal Reserve raised interest rates for the first time since 2023 and signaled an additional hike later this year.
- The Fed move turns the spotlight on other central banks, including the Bank of Japan, which is set to review monetary policy.
- A stronger dollar and persistent inflation pressure from elevated oil prices are weighing on most emerging-market currencies, leaving policymakers little room to maneuver.
Quotes
“The US Federal Reserve’s first interest-rate increase since 2023 and its signal of an additional hike later this year turn the spotlight on other central banks, including the Bank of Japan, set to review monetary policies.”