TGIF, Subscribers!
It’s fair to say that the stock market’s recent weakness has caught most investors and the perpetually bullish Wall Street consensus by surprise (as well as Jim Cramer, of course!).
However, the spike by margin debt since 2023 should have been a crimson red flag to anyone paying attention and who realized how badly these high-leverage episodes turned out in the past. (Thank you, Trader Ferg, for the following visual!)