Market

Another day dominated by NVDA. The catalyst seemed to be Elon Musk’s xAI capital raise, but my guess is it is just more people realizing they have to own the stock. The S&P is now up 11.24% ytd, the Magnificent 7 account for 60% of that gain, and NVDA alone accounts for 35%. Is that sustainable? We will see, markets firmly in the red this morning.

This is a concern. We had some poor bond auctions yesterday and rates jumped. So far they are continuing to move up this morning.

Outside of NVDA there is weakness in a ton of places. Especially consumer driven areas. For now though I still think you have to treat weakness as a buying opportunity.

ESG

ESG Funds Struggle in Supercharged Political Climate-ETF.com

According to Bloomberg Intelligence, at least 20 ESG ETFs have shuttered already this year, which represents a quarter of all ETF closures despite composing just 1% of all ETF assets.

The 2024 closure rate is on track to eclipse the 23 ESG ETF closures last year.

Top CEOs turn mute on ESG over backlash fears-AFR

Bloomberg scrutinised transcripts of financial presentations by the 100 biggest European and American traded companies during the latest results season, and found a sharp drop in references to environmental, social and governance issues.

ATR Op-Ed in The Hill: “How the Stop Woke Investing Act can reaffirm corporate America’s purpose”-ATR

On May 24, 2024, The Hill published an op-ed written by ATR’s director of financial policy, Bryan Bashur. The op-ed talks about how the Stop Woke Investing Act (S. 3179) is necessary to combat left-wing activist investors from burdening corporate America with ESG-related shareholder resolutions.

Big Oil’s Winning Streak Forces Activist Investors to Regroup-NY Times

Climate-focused shareholders are rethinking their tactics ahead of this week’s annual meetings at Exxon Mobil and Chevron.

The ‘S’ in ESG: Shifting Society Toward the Far-Left’s Vision of America-Breitbart

In this discussion with Breitbart News Editor-in-Chief Alex Marlow, Cameron explains that the “S” in ESG (which stands for Environmental, Social, and Governance) can largely be pared down to Diversity, Equity, and Inclusion (DEI), which is pushed by the Human Rights Campaign. “The far-left wants to go from a founding principle in this country – the idea of merit – to a world based on identity,” he says.

Woke Companies

Your favorite brand no longer cares about being woke-Vox

“There wasn’t necessarily a [brand] playbook in all of this,” says Doug Zanger, longtime ad industry observer and founder of Indie Agency News. Zanger explains that the 2016 election rewrote many of the rules in that playbook, as did the 2020 election. Today, with, say, Israel and Gaza, “these are really thorny, real-life issues that I honestly don’t think brands need to take a stand against.”

Daily Wire demonstrates strength of the anti-woke market-UnHerd

American conservative outlet the Daily Wire’s foray into commerce has yielded an annual $22 million in business, constituting 10% of its revenue, according to Axios.

The majority of the money comes from Jeremy’s Razors, which brought in $19 million in 2023 — nearly double its revenue from the previous year.

Climate Change

Anatomy of an EV Policy Error The U.S. carefully researched a ‘poor’ strategy and then followed it.-WSJ

In fact, a 2013 congressionally sponsored National Research Council study, led by the father of climate economics and future Nobel laureate, Yale’s William Nordhaus, concluded that green handouts and tax breaks are “a poor tool for reducing greenhouse gases and achieving climate change objectives.”

This became the essence of Biden policy.

Everything Else

‘Amateur Hour’: Biden Admin’s Floating Gaza Pier Problems Go From Bad To Worse-Daily Caller

The U.S. military was forced to halt aid shipments to Gaza on Tuesday after the floating pier was damaged by bad weather over the weekend. The damage sustained from the bad weather is only the latest in a string of logistical and operational problems that have plagued the pier since it was constructed in mid May.

This is not from the Babylon Bee.

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