The Federal Reserve lost its chance for a "freebie" by deciding not to begin scaling back its $85-billion-a-month bond-buying program because the markets had already factored in the taper, hedge fund pro Stanley Druckenmiller told CNBC on Thursday.
"We're going into extra innings. Maybe the punch bowl was running out and just about dry and two waiters are carrying this new punch in. We're really going to party now," the founder of hedge fund Duquesne Capital, added in a "Squawk Box" interview.
The big money on Wall Street had been betting on a Fed taper, he explained, saying the Fed lost the opportunity on Wednesday to get off the "dope."
The stock market move to record highs on the Fed's inaction is great for the rich, but the wealth effect of quantitative easing bond purchases will be negative after the exit, he argued. "This is the biggest redistribution of wealth from the middle class and the poor to the rich ever. Who owns assets—the rich, the billionaires."
Druckenmiller is among those billionaires, but explained that as a citizen this concerns him. But "as a money manager and a wealthy person that deals in markets, this is great for me," he continued, "But I don't think this is great for America."