The markets have already priced in the quantitative easing that the European Central Bank is expected to do next week and he doesn't think it will be very powerful, David Malpass, president of Encima Global, told CNBC Wednesday.
Therefore, he believes the markets are entering a phase of global rebalancing.
"People will get tired of just being in the U.S. and will take a look at some of the emerging markets, oil, the euro and so on," Malpass said in an interview with "Closing Bell."
David Hale, chairman of David Hale Global Economics, agrees the market has been discounting the anticipated QE for several weeks.
"Bond yields in Europe are at record low levels. Leaving aside the last few days, stock markets have been resilient. So I do think the expectation of this happening is now broadly in the market because of both comments by [ECB President Mario] Draghi and other members of the monetary policy council."