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Many analysts think the US is heading for a recession in 2023.

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  • US bond market is on the verge of a "major breakdown" that will boost government debt costs and hurt banks, Peter Schiff said.
  • That would also send benchmark mortgage rates soaring to 8%, a level unseen since 2000, according to him.
  • "The #Fed's gonna need a much bigger rate hike!," he said in a tweet.

The US bond market is on the verge of a meltdown that will send government debt costs spiraling and wreck the loan portfolios of vulnerable banks, according to one expert.

Peter Schiff, CEO and chief economist at Euro Pacific Asset Management, warned of a crash in Treasuries after benchmark 10-year yields jumped above the key 4% level on Thursday, fueling a selloff in US equities. Bond yields move inversely to prices.

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Markets, MI Exclusive, Bond Market, Bonds, Treasuries, US Treasuries, Stocks, Fed, US Economy and Markets, Interest Rates, Peter Schiff, Stock Market, Financial Crisis, Financial Stability Risks, Market Risk, Bond Volatility, mortgage rates, average mortgage rate, Banks, Banking Crisis, banking crisis 2023, SVB, Government Debt, US national debt
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The US bond market is on the verge of a major breakdown - and that will send mo…