Black Monday’s stock-market warning signal came from the bond market, and it’s back, says Wall Street veteran

Wall Street veteran Larry McDonald warns that the bond market is flashing signals similar to those seen before Black Monday. He notes that equities are currently delivering equity-like returns, mirroring the conditions of summer 1987. Furthermore, rising bond yields and increasing energy prices may indicate a shift in investment dynamics. These factors could potentially heighten market volatility and increase recession risks, serving as a critical warning signal for current stock-market participants and global investors.