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Corporate Leverage: "I miss you since the place got wrecked"

This is a syndicated repost courtesy of True Economics. To view original, click here. Reposted with permission.

Remember all the deleveraging the U.S. economy has gone through during the crisis? Why, sure, we’ve learned a lesson about too much debt, did we not?Except when you look at the Deutsche Bank data in the following chart:

Liquidity moves markets!

Follow the money. Find the profits! 

Source: @SoberLook 

By which the investment grade corporates’ net leverage is at all time high 3 quarters running and rising; and gross leverage is at all time high 4 quarters running and rising. Or as Leonard Cohen’s lyrics go:

“Ah we’re drinking and we’re dancing
and the band is really happening
and the Johnny Walker wisdom running high…”

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