U.S. Margin Debt Hits Record $1.5 Trillion as June Borrowing Adds $86.5 Billion
U.S. margin debt hit a record $1.5 trillion in June, adding $86.5 billion of borrowing and pushing leverage well above the prior peak of $936 billion set in 2021. The surge represents a $494 billion increase over the past 12 months and more than doubles the metric since the beginning of 2024.
Borrowing expanded despite a recent decline in equities, with investors continuing to pledge stocks as collateral. Debt now represents a record 6.5% of the U.S. M2 money supply, while a gauge tracking margin borrowing growth relative to S&P 500 returns rose to 31%. Historically, comparable spikes in leveraged equity debt have preceded market peaks in 2000, 2007, 2015, 2018, and 2022, though elevated borrowing does not guarantee an immediate downturn.
From the sources (5 posts)
@kalshiJUST IN: Total margin debt hits $1.5 trillion — an all-time high.
@globalmktobserv🔴HOLY COW: US margin debt surged +$86.5 billion in June, to $1.5 TRILLION, an all-time high. Meanwhile, margin debt relative to the US M2 money supply spiked to a record 6.5%. TAP IMAGE TO SEE FULL INSIGHT👇
@jasongoepfertBuy the dip...on steroids. Investors increased margin debt borrowing last month despite a drop in stocks. This is historically unusual and shows very high confidence, which has typically not worked out all that well.
@globalmktobserv⚠️LEVERAGE TRADING IS ABSOLUTELY EXPLODING IN THE US: US margin debt spiked +$86.5 billion in June, to a record $1.5 trillion, an all-time high. This metric has surged +$494 billion over the last 12 months, and has more than doubled since
@barchartTotal Margin Debt hits $1.5 Trillion, a new all-time high 🤯 👀