Surging Margin Debt Alarms Wall Street as Investors Borrow to Buy Stocks

Investors are increasingly borrowing money through margin debt to buy stocks, seeking to amplify their returns in a bullish market. The growing pile of borrowed capital is alarming many on Wall Street, who see it as a sign of greed and a potential red flag for market stability. Historically, spikes in margin debt have preceded several major stock market downturns.