Margin debt just hit $1.58 trillion in July — up $73 billion in one month and $552 billion year-over-year. That's a 54% annual surge, the fastest since the 2021 meme stock mania.
Even wilder: margin debt now sits at 6.8% of M2 money supply. The dot-com peak in 2000? 6.4%.
We've never seen leverage run this far ahead of actual money creation. Four straight months of increases, $354 billion added since April.
This doesn't mean the market crashes tomorrow. But it does mean the fuel tank is full — and historically, when everyone's this leveraged, volatility tends to show up uninvited.
Watch your position sizing.
Even wilder: margin debt now sits at 6.8% of M2 money supply. The dot-com peak in 2000? 6.4%.
We've never seen leverage run this far ahead of actual money creation. Four straight months of increases, $354 billion added since April.
This doesn't mean the market crashes tomorrow. But it does mean the fuel tank is full — and historically, when everyone's this leveraged, volatility tends to show up uninvited.
Watch your position sizing.