Some weakness is showing up in the U.S. economy despite lofty predictions of growth, according to Jeffrey Gundlach, the chief investment officer of DoubleLine Capital.

The Atlanta Fed recently forecast real gross domestic product at 1.6%, and a Citigroup Inc. basket of economic indicators has fallen to its lowest level since the financial crisis, Gundlach said.

Gundlach also said:

• 12 months I’d give you a recession probability that’s 50-50. next six months I’d probably have it down at 30%

• The odds of a Fed rate cut in the next 12 months are about 70%.

• The economy has been growing largely because of a debt scheme as the U.S. increases spending and fuels deficits beyond expansion in output.

• The bond market is “extremely exposed” to a downturn in the U.S. dollar, because some foreign buyers have been purchasing Treasuries without currency hedges.