Following the recent U.S. election, analysts predict significant changes for the U.S. dollar and emerging markets. A column in the Financial Times suggests that the election results could initiate a substantial rally for the dollar, driven by expectations of fiscal easing and potential tariffs on China. This shift is anticipated to negatively impact emerging markets, particularly the renminbi, which could decline sharply. Analysts note that the dollar's strength is already becoming apparent, with the 2y2y forward rate differential between the U.S. and G10 countries rising sharply, surpassing levels seen after the 2016 election. Additionally, the euro is projected to fall below parity with the dollar, reflecting the U.S.'s stronger fiscal position compared to the EU. The DXY index, which measures the dollar's value against a basket of currencies, has risen by 5% since the Federal Open Market Committee's 50 basis point rate cut in September, further indicating a trend towards dollar strength.