Be prepared for a 40 percent stock market crash that is closing in on Wall Street, according to David Stockman.

Stockman served as President Ronald Reagan’s Office of Management and Budget director, and he believes the early rumblings of the next colossal downturn are here, as the markets try to rebound from October’s downturn, the worst month since 2011 for the stock market.

Per a recent interview with CNBC:

“No one has outlawed recessions. We’re within a year or two of one,” he said Thursday on CNBC’s “Futures Now.” He added that: “fair value of the S&P going into the next recession is well below 2000, 1500 — way below where we are today.”

“If you’re a rational investor, you need only two words in your vocabulary: Trump and sell,” said Stockman, in a reference to President Donald Trump. “He’s playing with fire at the very top of an aging expansion.”

Stockman said Trump’s attacks on the Federal Reserve are misguided, and he notes ongoing trade wars, particularly with China, for the coming collapse. Stockman is just the latest to lament Trump’s tariffs as Senate Majority Leader Mitch McConnell called on Trump to end the trade dispute before it slows the “red hot” U.S. economy.

“He’s attacking the Fed for going too quick when it’s been dithering for eight years. The funds rate at 2.13 percent is still below inflation,” he said.

“The trade war is not remotely rational,” he said. If the dispute worsens, it “is going to hit the whole goods economy with inflation like you’ve never seen before because China supplies about 30 percent of the goods in the categories we import.”

The S&P 500 rallied  Thursday and Friday of last week, gaining 2.4 percent after losing 6.9 percent during the month of October.

“We’re going to be in a recession, and we’re going to have another market correction which will be pretty brutal,” Stockman said.

Watch the interview in full:

David Stockman: A 40% drop will take out bull market from CNBC.