Sep 24, 2026, 10:01 AMMarkets
Larry McDonald Says a 1987 Bond-Market Warning for Stocks Is Back
Larry McDonald says bonds are again delivering equity-like returns, echoing summer 1987 and reviving a bond-market warning for stocks before Black Monday.
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Summary
Larry McDonald says bonds are starting to generate “equity-like returns,” resembling their performance during summer 1987. MarketWatch characterizes the shift as a returning bond-market warning signal for stocks associated with the period before Black Monday.
The report was published September 24, 2026. Only a short feed summary was available, providing no bond yields, return figures, market segments, forecast horizon or explanation of how the signal could affect equities.
Positives
- Bonds are starting to deliver returns comparable to equities, according to Larry McDonald.
- McDonald’s comparison identifies summer 1987 as a specific historical reference point for the current bond move.
- Bond investors could be affected by the stronger returns described in the September 24, 2026 report.
Risks & concerns
- MarketWatch characterizes the bond move as a returning warning signal for the stock market.
- McDonald compares current conditions with summer 1987, the period preceding Black Monday.
- The available summary provides no yields, return percentages, bond categories or timing for the alleged stock-market risk.
Primary sourceMarketWatch.com - Top Storieshttps://www.marketwatch.com/story/black-mondays-stock-market-warning-signal-came-from-the-bond-market-and-its-back-says-wall-street-veteran-52f12e39?mod=mw_rss_topstories
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