US stock leverage trading volume hits record high, analysts warn

date
27/07/2025
This week, the main stock indexes in the US rose, breaking historical records consecutively. Throughout the week, the S&P 500 index rose by 1.46% and the NASDAQ index rose by 1.02%, both reaching historical highs on Friday; the Dow Jones Industrial Average rose by 1.26% for the week. The latest data from the US Financial Industry Regulatory Authority shows that the margin loan balance of US stock investors has exceeded $1 trillion for the first time, raising concerns in the market about high leverage levels. US bank analyst Michael Hartnett has warned that with loose monetary policy and relaxed financial regulation, the risk of a bubble forming in the US stock market is increasing.