Rising margin debt

Jordan Hayes jmhayes at j-o-r-d-a-n.com
Thu Jan 27 07:09:38 PST 2000



> Perhaps list market-macher Jordan would be kind enough to explain
> why this exploding margin debt doesn't matter.

I'm not sure that I would say that it "doesn't matter" (indeed, further down the article, Greenspan admints "there's no evidence to suggest that changes in margin requirements ... had any effect on prices." -- to the contrary, it rose 25% despite the market "only" rising 11% -- so how exactly is this contributing to a speculative bubble?), but this seems like it was $50B borrowed by individuals.

Ok, so the Fed is concerned about margin. So? Don't leave us hanging. Tell us what the WSJ article didn't tell us that's on your mind.

/jordan



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