Americans are borrowing in shocking volumes 🚀
In September, they borrowed another $67 billion, and the total margin debt reached $1.13 trillion — this is an absolute maximum in history.
Companies are already applying to the SEC to launch an ETF with a fivefold leverage.
🎯 What is happening?
• Greed in the market is back like in 2021.
• Stocks make up 52% of Americans' portfolios, which is more than during the dot-com era.
• The volume of options in the US has set a record: 108 million contracts in a day.
Everyone is chasing profits: stocks, options, crypto. Money flows into everything that could “take off.” But behind this lies a dangerous increase in borrowed positions.
On October 10, this has already turned into a wave of liquidations: 1.6+ million traders lost a total of $19+ billion in a day.
📌 What could this lead to?
The market is not just at a peak, it is in a new phase of insane risk. And even Nvidia is getting cheaper on multiples, and the dollar is weakening. And if this is not a bubble, then it is definitely the beginning of a new cycle of risk.