Fed's Hawkish Tone and EM Exposure

The latest hawkish rhetoric from Powell really puts a damper on risk appetite, especially for emerging markets. We've seen $EEM manage to hold up today at 66.745, but that's after a pretty volatile session, bouncing off 66.35. The stronger dollar and higher-for-longer rate outlook is a direct headwind for many of these economies, increasing their debt service costs and making capital flight more likely. I'm keeping a close eye on $EWZ, currently down 0.55% at 33.675, as Brazil often acts as a canary in the coal mine for broader EM sentiment. If the Fed doesn't soften its stance soon, I expect to see more pressure on these assets. Not selling everything just yet, but definitely trimming some exposure and tightening stops.