Morgan Stanley: Watch out for the triple-taper-tantrum

Morgan Stanley's Global Economist Manoj Pradhan has warned there is a chance that the US, Europe and Japan will all commence tightening at the same time next year, should there be a substantial pickup in growth and inflation. Pradhan says "What is unknown is whether the economic situation will pan out as we see it. We have had a few surprises recently but the trajectory of monetary policy and growth is leading in that direction." Pradhan forecasts the Federal Reserve will taper at the start of 2016, followed by the ECB and Bank of Japan ending their QE programmes in the second half of the year. (VIEW LINK)