At this point, I seriously doubt anyone needs any further evidence to support the contention that equities are stretched to the absolute breaking point, but just in case, margin debt just hit (another) record high, rising 2.9% in February to $530 billion:
As Bloomberg notes, the amount investors have borrowed against their brokerage accounts is now “approaching the market value of Microsoft and is the most since 1959.”
Prior to January, the record high was $505 billion in the spring of 2015.
But don’t worry, because as Michael Shaoul, chief executive officer of Marketfield Asset Management patiently explained on Wednesday, “the recent buildup is not in itself problematic or evidence of a substantive change in usage of leverage.”
Time stamp it, folks.