DAVOS - The global capital market, having been spoiled over the years by ample liquidity, may be put to the test with the US Federal Reserve's tapering of quantitative easing (QE) measures.

Global business elites and government officials, pooling wisdom at this year's World Economic Forum (WEF) in the Swiss town of Davos, say they are looking for a new stabilizer in a market with perhaps less mobility, while financial products pegged to the Chinese currency Renminbi (RMB) inch closer to the limelight.

Signs of recovery in developed markets

Market confidence is being restored and stock exchanges in developed countries are pushed to new highs thanks to the waking up of the US economy, Japan's ridding of deflation stress, and the European economy having started to collect itself in the second half of 2013.

Experts say that the bud of revival is clearly visible as trade and service industry indices take a turn for the better, despite high unemployment rate possibly continuing to haunt the way back to full rejuvenation.

"We have certainly avoided the worst-case scenario over the past five years," IMF Managing Director Christine Lagarde said Wednesday via her WEF blog account, adding that the latest forecast by the International Monetary Fund (IMF) put global GDP growth at 3.7 percent in 2014, "which is decent."

"But the time has come to push further, including by using the room created by unconventional monetary policies to implement structural reforms that can jump-start growth and create jobs," she said.

Policy adjustments like the downsizing of Washington's QE program can also pressurize the markets, while uncertainties resulting from foreseeable reforms of other major economic powers cannot be underestimated.

Lagarde also warned that risks of stagnation and deflation could loom large despite the recent stronger performance of advanced economies.