S&P Global Ratings expects monetary policy normalization in emerging markets (EMs) to take longer than previously expected. Following recent U.S. economic updates and the latest Federal Reserve FOMC meeting, we expect the Fed’s first interest rate cut in December. The change in the Fed’s fund rate path has led us to update our forecasts for the policy-rate and exchange-rate trajectories for many EMs, particularly for those that are more vulnerable to the Fed’s decisions, such as Latin America.