independence in their monetary policy decisions, a stronger U.S. dollar on the back of higher interest rates — and potentially inflationary tariffs from President-elect Donald Trump — make the outlook for policy easing around the world more uncertain. “When you have a more hawkish Fed, this will lead to a stronger U.S. dollar and a tightening of global financial conditions,” Qian Wang, chief Asia-Pacific economist at Vanguard, said. This is especially true in a lot of emerging markets, she added. “I do think central banks in Asia are generally moving towards easing, but given this Fed is going to stay higher for longer, there will be less room for easing.” CNBC takes a look at what could be in store for global central banks’ monetary policy in 2025. Asia The Fed’s cautious stance on future rate cuts sent most Asian currencies reeling Thursday. The Japanese yen dipped 0.74% to 155.94 against the greenback, hitting a one-month low. The South Korean won, meanwhile, hovered near its weakest level since March 2009 and the Indian rupee fell to a record low, tumbling below the 85 mark against the U.S. dollar. cuts. Lindsay James, investment strategist at Quilter Investors, said the impact of the Fed’s comments on the Bank of England was likely to be minimal, noting that there was little market repricing in the aftermath. However, she did say a higher dollar could weigh on sterling, pushing up inflation on imported goods and ultimately slowing the pace of cuts. “There is potentially a situation where both sterling and euro weaken further against the dollar, leading to higher imported inflation, especially on fuel and to a lesser extent food. That limits the banks’ scope to cut rates.” In this article NBHC UNCH After Hours .BBKA UNCH