As the debt continues to mount and delinquency rates rise, the tension in the financial landscape becomes unbearable. The rapid rise in margin debt, combined with the surging subprime auto loan delinquencies, signals a precarious tipping point for the economy.
Margin Debt is now at the highest level since December 2021 and up 28.3% YoY. 👇🏼
The second chart is the same as the first chart except with margin debt inverted to see the relationship between the two as a divergence. pic.twitter.com/uqmL1YNoDU
— Kalani o Māui (@MauiBoyMacro) January 24, 2025
⚠️US tech stocks to M2 ratio is flirting with a new RECORD:
There has been a lot of talk lately stocks have rallied due to massive money injections into the financial system.
In fact, the Nasdaq 100 rise has significantly OUTPACED the money supply increases.
Chart: @TaviCosta pic.twitter.com/f7K5zVLhWh
— Global Markets Investor (@GlobalMktObserv) January 24, 2025
BREAKING: US subprime auto loan 60+ day delinquency rates jumped to 6.2% in December, the highest among any December on record.
Serious delinquency rates have more than doubled over the last 3 years.
The surge accelerated once the Fed began raising rates in March 2022.
Now,… pic.twitter.com/k94AF9xEJ5
— The Kobeissi Letter (@KobeissiLetter) January 24, 2025
$SPY is showing a similar pattern to July 15, 2024, compared to January 23, 2025.
Meanwhile, $VIX remains stubborn. This time, however, a correction could be sharp. The market seems to be waiting for a catalyst, and that could come from tech earnings next week. Big tech… pic.twitter.com/VxOMSMHkr4
— optionGeek (@StockShark16) January 24, 2025
NAILING IT
SPX BOTTOM, RALLY & NEW ATHs AS PREDICTED
BEFORE IT HAPPENED – PULLBACK SOONA bearish RSI divergence on the S&P 500 60 minute chart ahead of the Fed meeting and big earnings next week. Sub-wave 2 coming soon, which will likely be a backtest of the Bull Flag breakout.… pic.twitter.com/RDZrhh6PL7
— King of the Charts – The Michael Burry of Bitcoin (@King0ftheCharts) January 24, 2025