MS says no Fed hikes before 2016

From Morgan Stanley via Forexlive:

• Predicts the Fed will not tighten until 2016
• Says the Federal Reserve Bank recognises that there are “the asymmetric risks to hiking too soon vs. hiking later when rates are at the lower bound”
•  “Accommodative central banks raise a strong possibility of global reflation. The global growth backdrop continues to improve”

Global reflation? Not as Chinese, EM growth and commodity prices keep falling. I can see global stock market inflation continuing, though, if MS is right about the Fed, which is a strong chance.

2016 is the US presidential election year, which traditionally boosts growth, so a couple of rate hikes in 2016 seems a fair assessment before the inevitable…