BREAKING: US margin debt jumped by +$112 billion in May, to a record $1.42 trillion.
This marks the 2nd consecutive monthly increase, totaling +$195 billion.
Margin debt has surged +$495 billion, or +54%, over the last 12 months.
Adjusted for inflation, this metric rose +7.9% MoM and +47.4% YoY.
Real margin debt has now grown +550% since 1997, far outpacing the S&P 500’s real gain of +357.7% over the same period.
Market leverage continues to rise at a historic rate.
US margin debt reached a record $1.42 trillion in May, with its historical growth significantly outpacing the real gains of the S&P 500, indicating a historic rise in market leverage.
The S&P 500 is mentioned as a benchmark to illustrate that real margin debt growth has far outpaced the index's real gains since 1997. The author uses this to highlight rising macroeconomic leverage rather than providing a specific directional forecast for the index. No external data is available to corroborate.
关键要点
US margin debt jumped by $112 billion in May to a record $1.42 trillion.
Over the last 12 months, margin debt has surged by $495 billion, or 54%.
Since 1997, real margin debt has grown 550%, far exceeding the S&P 500's real gain of 357.7%.
Market leverage is currently increasing at a historic rate.
