US financier Carl Icahn said in an interview this week that it was loose monetary policy that has produced record inflation in the United States, and it will not be easily rectified in the near future.

In an interview with MarketWatch’s Best New Ideas in Money Festival, the 86 year old head of Icahn Enterprises said, “You should not be printing money if you have inflation… We printed up too much money, and just thought the party would never end. And the party’s over.”

In August, inflation came in at a near 40-year high of 8.3% year over year. As polls show Americans unhappy with the state of the economy, analysts are noting that the Federal Reserve is increasingly likely to generate a hard landing through raising rates, given how aggressive and entrenched the inflationary pressures it is fighting are proving.

Last week the Federal Reserve announced its third straight 75 basis point hike to its key rate, raising it to 3.00% to 3.25%. Other central banks overseas immediately began following suit. Icahn says it was the right move, however he says it was long overdue, and should have been more aggressive. He also noted, in its present form, it may not be a strong enough move to produce an effect.

Icahn also noted the inflation is one of the key factors driving the current downturn in equities markets. He pointed out it was the August Consumer Price Index coming in hotter than expected which touched off the sell off earlier this month. Now this past Friday, the Dow Jones Industrial Average dropped to its lowest point in nearly two years. At the same time, since March, the S&P 500 dropped more than 15% and the Nasdaq fell 20%.

Even so, the legendary investor warned, “The worst is yet to come.”