Expect increased market volatility now that the Federal Reserve has stopped its bond-buying program, along with an era of long-term low interest rates, Cantor Fitzgerald and BGC Partners CEO Howard Lutnick told CNBC Thursday.
On Wednesday, the central bank announced the end of its stimulus program, known as quantitative easing. It began by purchasing $85 billion a month in bonds, but began to gradually reduce that monthly amount last December.
"The Fed buying $85 billion a month and just doing nothing with it crushed volatility from the system. So the fact that the Fed stopped has got to increase volatility. It's got to increase excitement," Lutnick said in an interview with "Power Lunch."