By Senad Karaahmetovic

David Tepper, the founder and president of hedge fund Appaloosa Management, is bearish on the U.S. stock market amid the ongoing central bank tightening.

In an interview with CNBC, the legendary billionaire said he is “leaning short on the equity markets.” He also said he’ll sell bonds.

“The upside/downside just doesn’t make sense to me when I have so many … central banks telling me what they are going to do,” Tepper said.

He added that he has a small position in the equity market and urged investors to trust the Fed when they talk about more tightening in 2023.

“We are going to have a lot more tightenings.”

“Sometimes they tell you what they are going to do and you have to believe them,” Tepper added.

Last week, Fed Chair Jerome Powell said the central bank has more work to do to cool down.

“We still have some ways to go,” he said on Wednesday. “We will stay the course until the job is done.”

However, the bond market doesn’t seem to be convinced that the Fed will continue .

“The market is not buying the Fed’s increasingly hawkish position that they are going to raise rates to a higher-than-expected level and keep them there,” said Lindsey Piegza, chief economist at Stifel Nicolaus & Co, according to Bloomberg.