The market would be hurt if yields on 10-year Treasuries climbed to 3 percent or higher next year, says Jeffrey Gundlach as reported in Bloomberg.

The DoubleLine Capital CIO has called president-elect Trump’s policies “bond unfriendly” and says that Treasury yields above 3 percent (benchmark Treasuries are currently trading below 2.5 percent) “would start to have a real impact on market liquidity in corporate bonds and junk bonds.”

Gundlach says that he will be looking for signs that “Fed members are growing inclined to raise rates more aggressively in the next couple of years as the economy heats up.”

Gundlach’s has a solid track record both in terms of his investment performance as well as other predictions, including his prediction that Trump could win over Hillary Clinton.