The Julia La Roche Show · Thursday, October 1, 2026
Dr. Mark Thornton highlights that the bond market is signaling a significant downturn, with long bond yields at their highest in 24 years. He attributes this to rising government deficit spending and inflation, suggesting a pivot to a higher interest rate regime. Thornton fears this could lead the U.S. towards hyperinflation.
“Well, I certainly think that the bond market right now is pivotal. interest rate on U.S. government bonds has been rising. It's on the 10-year U.S. government bond and the 30-year U.S. government bond. They've broken out to high levels that we haven't seen in a quarter of a century.”
“And the government in the red ink. And this, of course, is putting upward pressure on all kinds of interest rates, credit cards and mortgages, as well as U.S. government securities and corporate bonds and everything else.”
“So I'm worried about bonds and interest rate. That's a pivotal price in the economy that affects a lot of our decisions and, yeah, And so that's really my big concern.”