Michael Contopoulos, head of multi-asset macro investing at Janus Henderson Investors, said markets are approaching a top, although the cycle could turn in three, six or 12 months. Speaking on CNBC’s Fast Money, he discussed rising interest rates and the health of the US economy. The Federal Reserve voted 12-0 on Sept. 16 to raise rates by 25 basis points, lifting its target range to 3.75% to 4%. Yields have also risen as higher energy prices fuel inflation concerns, while traders priced a 71% chance of an October hike as of Sept. 24. Contopoulos said that probability was not independently a red flag, pointing instead to healthy corporate earnings, a broadening market and jobless claims of 197,000 for the week ended Sept. 19, among the lowest levels since 1969. He is watching for margin compression, slower earnings growth, wider corporate credit spreads and an inverted yield curve, in which short-term yields exceed long-term yields. The 10-year Treasury yield reached 5.22% last Thursday, compared with 4.94% for the two-year note. Contopoulos also said most artificial intelligence debt issued in the past six to 12 months trades below its issue price, while synchronized global rate increases keep US yields elevated and make foreign markets more attractive. Japan’s 30-year bond yield reached a record 4.2% last week. Turtle Creek strategist David Spika takes a different view, arguing stocks could rise 5% to 10% by year-end if oil prices continue falling. Inflation, economic growth and payroll data due this week will test both perspectives.