Palantir CEO Alex Karp says this tidal wave of macroeconomic risks will wipe out some companies

Palantir co-founder and CEO Alex Karp believes this play of "deadly" macroeconomic uncertainties volition crush galore companies with shaky fundamentals.

"Bad times are incredibly bully for Palantir ... atrocious times truly uncover the durable companies, and tech is going done atrocious times ... involvement rates are the reason," Karp said Thursday connected CNBC's "Squawk Box." "Will this deadly tidal question hitch retired immoderate companies? Yes it will."

The Federal Reserve connected Wednesday raised benchmark involvement rates by different three-quarters of a percent constituent to a scope of 3%-3.25%, the highest since aboriginal 2008. The Bank of England, the Swiss National Bank, and the cardinal banks of Norway, the Philippines, South Africa, Taiwan, Vietnam and Indonesia followed suit, hiking rates to power ostentation that has spiraled implicit the past year.

Palantir is simply a developer of information investigation bundle that went nationalist via a nonstop listing successful September 2020 after astir 2 decades arsenic a backstage company. The banal is down astir 60% this year.

Karp said lone those prime companies producing durable goods would past the hard times.

"You volition spot that the durable companies that travel retired of this successful three, 4 years ... are mostly going to beryllium from America, mostly from the West Coast and they are going to beryllium focusing connected producing things that really matter," Karp said.

The hazard of a recession successful the U.S. crept higher arsenic the Fed vowed to bushed ostentation with assertive complaint hikes. The cardinal slope has dialed down its economical projections, predicting higher unemployment and overmuch slower GDP growth.

Karp believes that the concern is adjacent much dire overseas.

"People are frightened s---less astir vigor extracurricular of America," Karp said. "They are truthful frightened astir the macro-political conditions that nary 1 wants to speech astir them. Their enterprises are built for a static and unified satellite of peace. The equilibrium sheets evidently are often not prepared for what's going to happen, which I deliberation is going to beryllium beauteous atrocious successful the adjacent mates of years politically and economically."