Saxo Bank's chief economist Steen Jakobsen says that US money market reform poses a big potential event risk.

Money markets are vehicles to deposit money and foreign banks use them to fund themselves in dollars. But since money market funds are perceived to be more risky, according to Steen Jakobsen, more than $500 bn has been taken out of these types of funds.

That's why short term interest rates have been rising, Jakobsen says.

The reform will take place October 14-16, 2016.