Is "the great monetary divergence" upon us? According to one expert, the answer will become clear in 24 hours.
European Central Bank President Mario Draghi is set to announce new stimulus plans Thursday while Federal Reserve Chair Janet Yellen offered insight into the American economic outlook both Wednesday and Thursday.
"We have more [quantitative easing] coming out of Europe and we'll cut rates here. Rates in Europe and the United States will move in opposite directions for the first time in a long time which is being dubbed as 'the great monetary divergence,'" Jim Bianco, president of Bianco Research, said Wednesday on "Squawk on the Street."
However, Bianco said it's hard to tell what impact the divergence could have on financial markets.
"The effects that will have on money markets, corporate bonds, sovereign debt is still a giant unknown," he said. "Maybe it works out fine, but it's a big experiment."