JPMorgan Chase CEO Jamie Dimon thinks the war on inflation is likely to get worse before it gets better—and that could mean interest rates rising to 7%, CNN reports.

“I ask people in business, ‘Are you prepared for something like 7%?’ The worst case is 7% with stagflation,” Dimon said in an interview with the Times of India.

“If they are going to have lower volumes and higher rates, there will be stress in the system. We urge our clients to be prepared for that kind of stress,” Dimon said.

Investors in the stock market have been increasingly nervous over the prospects for the economy, with the Dow Jones Industrial Average down by 400 points and Nasdaq losing 1.63% Tuesday as of 3 p.m.

Federal Reserve officials last week released projections that the Fed funds rate, now in the 5.25%-5.50% range, may be raised one more time this year before rate cuts next year.

“I am not sure the world is prepared for 7%,” Dimon told the paper.

However, the futures market is not pricing in rates at the 7% rate let alone 6%.

Should the Fed funds rate go that high, the JPMorgan Chase CEO said, the next two percentage rate increases will be “more painful” than the last two.

“That will be the tide going out,” Dimon added, quoting legendary Warren Buffett, who famously said stock market risk takers are exposed when the tide recedes: It’s “only when the tide goes out that you know who’s been swimming naked,” the Oracle of Omaha once said.