A third round of quantitative easing from the Federal Reserve would be good for stocks but not real growth, former Assistant Treasury Secretary Neel Kashkari told CNBC on Wednesday.

“We think QE3 would be good for the stock market, not necessarily for real economic growth. QEs are like morphine. It makes you feel better, makes the headlines look better, pushes up risk asset prices but doesn’t translate into real economic growth,” he said on “The Kudlow Report.”

Kashkari, who is managing director and head of global equities at Pimco, said that bold action from the Fed would boost markets now that most investors seem to think the global and U.S. economies are slowing.