Billionaire businessman Ken Langone told CNBC on Wednesday he expects higher-than-usual inflation to hit the U.S. economy for longer than the Federal Reserve anticipates.
In an interview on “Squawk Box,” the Home Depot co-founder said both raw material and labor shortages have caused increased consumer prices during the pandemic economic reopening. Now, the potential for trillions of dollars of additional government spending on top of that is worrisome, Langone said.
“I think you’re going to take a white-hot fire and throw a five-gallon gas can on top of it. You’re going to have flames so high it’s going to be incredible,” Langone said. “I don’t believe this is transitory. I don’t believe this is temporary,” he added, referring to the long-held view of Fed Chairman Jerome Powell about recent increases in inflation.
The Fed chief is set to hold a news conference at 2:30 p.m. ET, about 30 minutes after central bankers’ wrap up their…