CHART OF THE DAY: The Current US Debt Situation Makes The Great Depression Look Like A Joke

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While the U.S. economy may be in deleveraging mode right now, it’s always good to recognise just how far we’ve come as a debtor nation. This chart from Jeffrey Gundlach at DoubleLine makes that abundantly clear.

In terms of domestic credit market debt, the U.S. surpassed the pre-Great Depression heights by some point in the mid-noughties and just kept growing. In 2009, it was all the way up to 353% of GDP. And while it may have fallen since, due to defaults and foreclosures, It still is likely above the Great Depression highs.

Seems the deleveraging process will have a long way to go.

Check out more of Jeff Gundlach’s presentation here >

From DoubleLine (via Zero Hedge):

chart of the day, domestic credit market, dec 2010

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