Carl Icahn: Fed Can't Just Keep This Market Up By Itself; Apple Still 'Extremely Cheap'

Chairman of Icahn Enterprises LP IEP and renowned activist investor, Carl Icahn, was on Fox Business recently to share his views on the market, U.S. economy and his outlook for Apple Inc. AAPL.

Here is what he had to say.

The Markets

"I am not telling you this market is going to crash or go down next week, next month, even next year," Icahn said. "But you will have to be extremely concerned with what's going on. I mean, consumers really aren't spending, but by keeping interest rates this low you're creating bubbles that you don’t even know about and I do think that sooner or later, the Fed can't just keep this market up by itself."

Related Link: Carl Icahn's Investment Lessons

Icahn continued, "I think the Fed has to be congratulated in what it did and saved this economy in '08. There’s no question that the Fed did hold it up there. But, I think, now the time has come to stop the medicine and I think it will happen. It will stop."

Apple

Icahn was asked what he thinks of Apple's new streaming service and his outlook for the stock. He replied, "Well we are saying the value is $240. We believe if you look at the different metrics. We wrote a paper on it…we tweeted it year and a half ago and we have tweeted to our followers that we think it's extremely cheap."

"These initiatives are going to keep coming. I mean what you see today is just one little piece of the iceberg. There's going to be many initiative, I believe. Apple has an ecosystem that’s unparalleled I think in economic history," Icahn concluded.