Mohamed El-Erian told CNBC that markets "will continue to see upward pressures on yields" following a broad sell-off of global government bonds.
He noted that three countries — the U.K., Japan, and France — were vulnerable to sovereign debt problems.
The renowned economist also said the U.S. Treasury had taken "a step too far" with its recent market intervention.
Investors should expect the sell-off of global government bonds to continue, El-Erian stated.
"I don't see any appetite in the U.S. for immediate fiscal consolidation. So I suspect we will continue to see upward pressures on yields," he said.
He also pointed out that China, Japan, and Gulf countries are no longer reliable buyers.
El-Erian also highlighted that France has become a focal point for the bond market.
U.S. Treasury department's 'step too far'
El-Erian also mentioned that the Trump administration had gone "too far" with its attempts to intervene in market outcomes and monetary policy.
He labeled these moves as "unfortunate".
