Next year may be volatile with economic shocks from rate hikes

Singapore

2015 may be quite a volatile year economically, as interest rates and the movement of capital may create shocks in the global economy.

It may start with the Bank of England raising interest rates followed by the Federal Reserve in the US, according to executive editor of The Economist, Daniel Franklin. However, with continued weak economic conditions in the eurozone and Japan, he does not expect the other half of the Big Four central banks - the Bank of Japan and the European Central Bank - to follow suit and raise rates.

"That is going to be one of the big economic stories of next year as it will cause ripples ar…