No surprise, the business community bought into Herbert Hoover's deregulation of corruption with both hands. Marking the largest expansion in corporate debt in U.S. history to new record highs on both an absolute and relative (to GDP) basis. In the event, they turned stock holders into call option holders, with an expiration date set for the end of the cycle.
Corporate debt, quarterly change, $billions:
Here we see (smart) money flowing back to money market funds since the tax cut, as the yield on money markets exceeds the yield on the S&P 500, for the first time in a decade. Whereas stock investors should have seen the Fed rate hikes as their last chance to reduce risk exposure. Instead the dumb money increased their exposure over the course of 2018, while insiders cashed out.