The market reacted positively to Federal Reserve Chair Janet Yellen's congressional testimony Tuesday, but Fed critic Jim Grant warned that, in the end, the consequences of the central bank's "distortion" of interest rates "will not be wholesome."
"This virus of radical monetary policy is now coursing through the political bloodstream. There's no going back, at least not for the medium term," the founder and editor of Grant's Interest Rate Observer said in an interview with "Closing Bell."
"The world has come to expect that central banks will be there in force in unprecedented ways with the greatest improvisations come times of trouble."
At some point there will be trouble in the form of a bear market or a recession, he added.
"So what then, what do they do then?"