NYSE Margin Debt Rises (Again) To An All-Time High

Margin debt in NYSE accounts increased again in January to an all-time high. This series tends to top out before major market corrections occur. Margin debt is now at an all-time has a percentage of total market capitalization. Also, margin debt as a percentage of nominal GDP is just about equal to levels seen in July 2007 (h/t to John Hussman for the third chart below).