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M5 · THE BUILD-UP OF SYSTEM LEVERAGE FROTH MISSES

NFCI leverage subindex

0.11
CALM ROBUST z 0.11 DRS 95 weekly as of 2026-08-28

Where it sits: higher than ~67% of its full record.

The full history

1971 high 3.85 · low -2.01 · now 0.11 · 7 recessions shaded 2026

How it is read

What it measures
the build-up of system leverage froth misses
Where it sits
higher than ~67% of its full record: at the 67th percentile of its full record.
z vs. its window
0.11 (strain side: up). 2,904 observations in the window.
State rule
z < 1 CALM · 1 ≤ z < 2 WATCH · z ≥ 2 EXTREME, measured only toward the declared strain side.
Confidence
ROBUST : a primary official series, mechanically reported.
Reliability (DRS)
DRS 95: The Chicago Fed's leverage component: how much borrowed money stands under asset prices. The altitude tiles read the climb; this reads what is propping it.

Where it comes from

FRED ↗ Every number on this site is reproducible from this primary source.

What it read at past stress points

Lehman, Sep 2008 2.47 ▲ EXTREME
Q4-2018 selloff 0.27 · CALM
Curve inversion, Aug 2019 0.05 · CALM
COVID crash, Mar 2020 0.88 · CALM

Questions it helps answer

  • The Ledge : How high is the market, and what is under it?