Stocks hit record high on sagging performance, higher debt.

There’s something completely ridiculous happening around the world right now.
We can start in the United Kingdom, where the FTSE-100 stock market index hit an all-time high yesterday of 7454.
Simultaneously the British government released statistics yesterday showing that debt judgments and bankruptcy filings across the UK soared 35% in the first quarter of 2017 to the highest level in a decade.
British consumers are on a debt binge, borrowing (and now defaulting) at record levels.
This all sounds pretty sustainable.
Across the pond in the Land of the Free, the US stock market also hit a record high yesterday.
Simultaneously, consumer credit (i.e. DEBT) in the US is also at an all-time high of $3.8 trillion.
Even more specifically, margin debt, which is the amount of money that investors borrow to buy stocks, is at an all-time high.
Think about that: investors are borrowing record amounts of money to buy stocks at all-time highs.

This post was published at Sovereign Man on May 16, 2017.