Market watchers have been debating whether the Federal Reserve will begin raising interest rates in September or December, or wait until next year. Strategist Komal Sri-Kumar said Thursday he expects the central bank to delay until 2017.
The president of Sri-Kumar Global Strategies told CNBC's "Squawk Box" he believes financial markets are underestimating the global impact of a slowing China and an ongoing currency war touched off by the Fed's extraordinary monetary policies.
"I said in early 2015 there won't be any raise and I stuck to it for the past year. I'm starting to think you're going into 2017 for the first raise," he said.
Kumar said he foresees a second and third round of emerging-market currency devaluations following an initial wave in the wake of China's surprise decision to allow the yuan to fall in value last month. These devaluations will spark retaliation, further weighing on an already sluggish pace of global growth.