Market Valuations and Closing Thoughts

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What's on investors' minds as they look ahead Find out on the Markets podcast from Goldman Sachs downown of market moves and macro signals in ten minutes or less The Markets podcast from Goldman Sachs Listen now Fourth of July savings are happening now at the Home Depot with select appliances starting at three hundred and ninety eight dollars. Plus, get free delivery on appliance purchases of three hundred and ninety eight dollars or more, no membership required. Upgrade your kitchen with a modern and sleek GE profile refrigerator featuring hands free autofill for the perfect pour every time. And make laundry day easier with two in one washer dryer combo innovation that completes laundry in about ninety minutes. Shop top brand appliances now at the Home Depot. offer about june seventeenth to Juieth US onlyn S Store online for details Release the dick jokes Hi everyone. This is Pivot from New York Magazine and the Vox Media podcast network. I'm Kara Sisher. And I'm Scott Galloway. Scott I think Mitch McConnell. Dead be in trouble. Is this weekend of Bernies Wekend of Mitchress? We've heard the whole thing, right? If they pretend he's I thought they should have kept We' payider Ginsburg on ice for a while. Yeah What is going on in this country at our anniversary our two hundred fiftieth anniversary I think he was around for the first one, wasn't he? Mitch McConnell? No, there we go There you go. I don't know why I'm thinking of him. I'm like what's happening to him? Like are they hiding him? Like what is It's so strange. It was because that other guy came back. It turned out he was depressed. A guy from New Jersey, Tom Keane, or whatever So more importantly, I had the chief investment officer of JP Morgan on. Oh. And as I do, at the beginning of the show, I told a really crude joke, notot while he was on. Oh no. And it ends up he's really offended. And he even put in a research note like six months later referencing or I didn't read it because I knew it would upset me. D. He was upset So from this point forward, I'm only doing dad jokes until Michael Symbolis, Chief invvestment Officer of JP Morgan Accepts my apology. Michael, we didn't mean to embarrass you. Oh God. You have, You can't do that. What are you doing? something changed by other people? Be yourself, Scott Well, I also I'm also not a sociopath. I think if you upset people it tookkay to apologize. So anyways, I'm now doing dad jokes. okay. So what do you call a fake noodle? I don't know an imposta Oh sew it. Release the dick jokes. Michael, please forgive me. othertherwise everyone's going to be forced to listen to my dad jokes. We all have a vested interest And Michael was it terrible Accepting my apology. That was do not do a joke like that again. please. That's a four year olds joke. Okay, you tell me not to do something All right. I'm offended that you I'm going to put it in my research note that you. Why couldn't we find the scarecrow? because he was outstanding in his field I know. I know. He needs to He needs to accept my apology. It's only gonna to get worse. All right, Michael, can you please? It's only gonna get worse. off the fucking hook How are you doing? What are you doing for the fourth for our anniversary, our fourth of July? What did the curtains say to each other? I don't know. What? Pull yourself together Please, Michael Please One is worse than the other. One is there notse. What did the strawberries say to the other strawberries? Oh, my go, please. All right If we weren't caught in the same bed, we wouldn't be in this jam That's a little sexual H All right. You see the problem here, I see the problem. I see the sense of urgency. I see the sense of You know, Jamie Diamond, maybe ask Jamie to lean on Michael to accept my apology. I' talk to him. I bet he likes a good dirty joke. He seems like likeella who likes one hundred percent. I could see him go fwing to that He has a fifter px Anyway, where are you right now? What are you doing for the fourth of July? Are you doing anything I'm going to a tractor parade. You too? Yeah. Well, wait, no I'm going on a big fat boat around Sardinia. the same same I'm sd. Yeah Find some find some DJ on Wuena Facci or whatever it's called and probably and probably do act. Yeah. same thing. thing thing. Yeah. I go to this annual tractor parade in Vermont' a man and this family rebuilt a barn that was falling down that they had this sort of funky hippie barn and they redid the whole thing and it's beautiful, I have to say. It's really. I mean you guys have an open relationship and you're both looking for lesbians? No. No. No. That time has passed for Karas Wisher I. Yeah. You haven't had your midlife crisis yet. I had it.. Oh, I saw you on one of my favorite guys podcasts. I love Dan Harris. again. That was good. Yeah. He's so comforting, is he? Yeah. Yes. one hundred percent. ye And He has whenever let's bring this back to me, whenever I'm mentoring young men, he has one of my favorite pieces of advice that I always give to people. whichich is Action absorbs anxiety. I love that Yeah you exsited about something, you're anxious about something Imediate start moving against it and addressing it and you feel better. Or anything, Do something else. Yeah. I think that's what really. I to adopt him as a big brother. Is he looking for a little brother? That guy is so comforting and smart and wise. Hey, you're gonna be gone next week. have We have special guest stars. Oh who do you know who the guest hosts are? I think Scaramucci is one. The mch. The Mooch is one. I don't like it when the mooch comes on ' the downloads go up. And we also have Puuck's Matt Blleny Delanie from the town. The town. Yeah.. I like him a lot. I think there's a lot of, you know, media stuff and actually I have to say he and Eric Gardner have been doing the best coverage of sort of media murdrers and things like that. Just smart I just, you know, they did a great take on the comomcast thing. I just I want to talk about he's always smart. He's also snarky in a way I like does great reporting. That's my He's accurate. So I like that him. So yeah. and then of course, Scott for Yagus, I've got a real lineup to try to replace you figure out my next act, essentially. I get it. At some point we should have a recommitment ceremony. We should We should That was us on the top of the Empire State Building Oh. So I've got a lot to say about both those things. Okay, hold on. I got it Those two It is so obvious. Those people are narcissists who like each other but don't love each other. First off, if you do that for attention, you're really into look at me. Yeah, sure. And if you're engaged to someone and willing to let them climb up the Empire State builduilding, it means you like them, but you don't love them It's like if they fall, it wouldn't be a tragedy, right? I don't know. Some people chase that kind of stuff Is what you think? Yeah, but people don't people can chase that stuff and not risk their spouse's life. Would you let your wife do that regardless of how competent a climber? And I have friends who are in those relationships. They love to do like extreme sports. I have a lot I'm not of friends that do that, but I know a lot of people who do that and they're very into that kind of thing So, you know, they like all that like You know, surfing, like wind sururfing in like very dangerous places. Have you ever been to a recommitment ceremony? No Oh God, I've been invited to. you know what they mean? It is so obvious. they might as well put on the invitation when they invite you to a recommitment ceremony that he was fucking his secretary and got caught and doesn't want to lose his kids. So they have a recommitment ceremony. And the second thing it means is they're gonna to be divorced within three years. Oh, okay It's such a good mood today. Aren't I a bucket of sunshine? I know if we have one, we should have a ceremony of su. We should climb something. I was thinking about us when that climb was happening. I loved it. This is what I love We look like Gandalf and Billy Bardy ascending Mount McKinley. I love I love everything about New York right now. These people climb the Empire Fucking State and then they put up that m. You would have liked their message about love and powers That was nice. I didn't like their message. Yeah, their message. I just love and then that picture of them looking hot is hot Elevator Yeah, they're narcissists. I'd love that. Look at me. I would know nothing about that topic. And I have an easier time recognizing other narcissists. I understand. But the other part is okay first you have the Empire State builduilding, of course, the Kicks and everything else and the worldld C. I can spot someone who does edibles from across the bar. I'm,, you do ibible, I wouldn't do that if I was climbing that f I was trying to say No, no, dont, you don't need to be high climbing in the Empire State Building. Okay. All right. Anyway. and then like a Mum Dady jumping in the pool. I love that. and then Taylor Swift getting married Madison, I love New York So much today for Oh God, there we go. I'm just telling you. Are you going to the wedding? I wasn't invited. No, but I heard all our ex boyfriends are showing up and doing a harmony of Maybe it's you that she's going over the fucking top. I love someone. I like anyone who goes over the top. I love the Empire State Building people. I like Madni jumping. M Dadni jumping. that was brilliant. I'm going to the pool is great.ust I like it all. Bloomberg did the same thing, but no one criticized Bloomberger.'s good looking. Well, that's the way No. I agree Yeah I don't know. I just love the whole thing. I'm so excited for. She was doing water aerobics. Yeah. This is why I had Bellany on because he wrote, he goes, do you think she's filming it for a Disney special? Really, really? Of course she is. I love If you're gonna to get married, make it a thing We should have a ceremony. Let's do that on our tour on our pivot tour A you married? Yeah. No, we should do a ceremony of some sort. And byy the way, we just planned our new pivot tour for November and we did. We have a new city. We are not going to say Should we say?, You can say, goo ahead We're coming to the great city of Denver. Denver Yeah. We started about call. And another one that we didn't go to. we've been to recently, but Minneapolis we're going to make Oh, yeah,' we're going back to Mneapolis to show civic prise. Yeah, that was for the resistant unsubscribe, but now we're going for B sa. Those are the two new cities, Denver and Minneapolis and we're going to some ones we already went to. Anyway, we're very excited and we're going have ceremonies everywhere. We should get to the news, actually. There's a big piece. Why not? Yeah First, let me just tell you, Donald Trump's embrace of crypto is payving off in a big way. Trump earned about one point four billion dollars over the past year from crypto according to a new financial disclosure, which I think is undercounting all the grift he's doing. A big chunk of that came from sales of his Trump meme coin and digital tokens for the Trump family crypto company, which he gets paid no matter what, and everyone who's invested in it is losing just so you know, you got all this money. It's not just crypto Trump pulled in at least two point two billionars in total income for the year up from six hundred twenty two millionars in twenty twenty four before he returned to the presidency. That includes more than six hundred twenty million in real estate, hotel and golf related income, which is almost nothing. pllus eighty six point five million doars from legal settlements from ABC, CBS, YouTube, Ma and X Graft is just And it turns out we're paying for the East Wing, we're paying for the Keny center. we're paying for all the manner of things that he is up to, which he said the public wasn't paying for. What this is astonishing. I think they're undercounted. What did you? I mean, nobody's surprised, but the grift is really quite astonishing, I thought was Wow, that's a lot of money. Your thoughts? Well, there's the Grif and, there's the I mean, there's the micro and that is w two point two billion in personal income you know, while sitting as you're occupying the oval Office and one point four billion of it from crypto financial system that he now supposedly regulates. It's not a conflict of interest, it's a business model. And essentially what you have in America is slowly but surely, we're monetizing everything. We monetize healthcare We monetize education. We monetize enragement online, and now the president is monetizing the full faith and credit in power of the White House And he went from six hundred twenty two million do the year in net worth before taking office of the two point two billion after. He' essentially set up a toll booth for the American government And the meme coin would have been a five alarm scandal for anyone else but him It's a financial instrument with no underlying value that goes up when the president tweets about it. and that's securities manipulation with a big red hat. And the fact that he did it the Friday night before his inauguration under the cover of dark, you know that he called people and said, thanks for giving me ten, twenty hundred million dollars for my campaign. FYI, The coin gets announced tonight Uh, it'll it'll go up and then you can if you dump it, you dump it But on a larger level, I was thinking about our two hundred and fifty year anniversary And in I mean, this is a reality that Since nineteen ninety one Childhood poverty has gone way down way down. Crime has been cut in half We have a The number of people have gone gotten educations has gone up. We have a healthier, better educated populace than ever before. Cime is at the lowest rate ever in New York, right But happiness as Jimmy Carr says where satisfaction isn't a function of what you have It's the delta between what you have and your expectations And what's happened in America because there is now a normalization, an algorithmically normalized zero point one percent in terms of your expectations. I'll give you an example From twenty two to forty two, I did nothing but work. And I think my first vacation, the only vacations I took with my mom. We went to Niagara Falls once. We used to go to Magic Mountain because we couldn't afford to go to Disneyland and I remember going to Cub met in Mazilon when I was like in my late twenties I thought it was fucking. I mean, it couldn' have been any tackier. Bad Daiquiries, not a very nice beach all you can eat, but that you wouldn't want to eat all of it And I thought it was amazing I just thought it was the most. I was b I brought back club med shirts. I had a club med hat I just thought Club Med was the most amazing thing. And I was talking aboutayy bead? Was it Dinga bead? Yeah You get beads for bars for drinks. It's amazing. Its And because here's the thing, I had never been to, nor was I being reminded one hundred and five times a day as people vomited their experience at St. Prartts in Mconos My expectations were dramatically lower. And then you combine that with the following People who are supposedly in charge art are exhibiting a level of corruption and depravity that just makes us feel bad about institutions. Right So you have a coening of our discourse where quite frankly there's an economic incentive to ship post everything. It's happened a lot during the Biden presidency. It's also to a certain extent happening now You have social media vomiting everybody's wealth in your face and giving you the impression that if you haven made three million dollars on Ethereium and your boyfriend doesn't have a six pack, you're failing And also the people in charge seem to be genuinely like low character people and grabbing everything. the good Yeah, and people don't trust the CDC, they don't trust the Supreme Court. It's like what William Gibson said The future' here, it's just not evenly distributed. Prosperity is here. They see it everywhere. But people don't feel like it's evenly distributed. So people now a quarter of the people under the age of twenty five feel good about America. It's three quarters of people our age So it's definitely Kyla Scanlon coined the term vibe session, but the two hundred fiftieth anniversary, if if well, you're down there, what's the vibe like? Well, you know, I think people feel like this guy grabs everything. like my worry is that it goes, we all hate everything because of these people, right? We think everything's on the take And it sort of makes you feel like nothing works or that there's no payoff or anything. And you know I was really struck by a really interesting exchange this week between you know, Elon Musk attack Ro Khana for saying he's killed children with the cuts of USAI D that he bragged about know, putting it to wood chipper, etcetera. without any care for the impact. And then Nick he said, show me one person who's been killed. And then Nick Christoph, who does amazing work the New York Times name. Here's some names. There's some by the way, there's and I saw them. Thousands and thousands and thousands and thousands more And then instead of like actually engaging him, which he did exactly what Elon asked for because that's his thing. It's like, nameame one person who's hurt. That's their little stupid trick. And he does. And then he's like, Nikrrosov is evil I was like, you fuck what it made me think, It sounds really including this crypto stuff is like What's wrong I wanted to fight the feeling of everything sucks and it was really hard for the first time. I was like These people have no care. the same thing with Stephen Miller spouting off about the they won all these Supreme Court cases, but they lost the one they really care about which was birthright citizenship, right? And so they just can't stop the hate. They just have endless pools of hatred and gift. And I wonder how you survive that and especially if you're a young person looking at it, like what is your reaction? I mean that that to me was like I even feel exhausted by their Ehusiastic villaining. and stealing. Like I find them exhausting I just don't know what I would do if I was a young person looking at all this. you know? Yeah, it's look, there's a lot of issues. I mean, the number of people in the middle has gone away and young people have a a rational reason to be to be upset. The traditional means of building a life finding a mate. deeveloping economic security, advancing up the ladder which is typically some sort of certification, either vocational programing or a college degree and then buying a house. The incumbents have weaponizeed scarcity to make it more expensive for them to get those things such that the people who already own them a college degree in housing can see the value of those things go up And also our tax policy, which continues to transfer wealth from them to the incumbents, right? Loosely speaking, our tax policy over the last fifty years has taken fifty trillion dollars and transferred it from the bottom ninety percent to the top ten percent. Rich old people you? Yeah. so there' they justifiably Um can be very, you know, very upset. haaving said that If you actually look at the data Things aren't as bad as you would believe in terms of the vibe. But again, and this is the great Jimmy Carr your happiness and your purpose isn't a function of what you have It's the delta between what you have and your expectations. And the downside of meritocracy and especially when social media speedballs it, is everyone believes if they're not in the top one percent, they're failing. Except that when they're looking at the president just stealing stealing agree ste hundred percent. That's really it. L there's just no even pretty like look, Grift has been not fair. The regame is around forever fromom the beginning, right from every every country, every historical thing. But this is Grift on a very explicit scale and also Yeah, that's right, I'm taking it. That's right. I'm cheating. And let me tell you, let me put on another story that came out pololitico calling this week's Democratic primaries in Colorado an anti establishment avalanche. Obviously it was happening in New York, which is no surprise with Mam Danni getting know backing a bunch of people, one of whom is really problematic. Colorado A atttorney General Pil Weiser, though, upset longtime Senator Michael Bennett, who you and I both have a lot of regard for, who looked like a lock for the nomination a year ago we thought he'd be governor Colorado and then twenty nine year old Democratic socialist Mayot Kiros, unseated a fifteen term Cgresswoman and Manny Rutnell, a progressive state representative, defeated a moderate Democrat. The results add up to a growing string of progressive anti incumbent. I think that's actually, Steve Bannon was very canny on this stuff. Victories notably what happen in New York. and there are a number of primaries still to come over the next few months. All this, as a New York Times Siantna poll showed Democrats within striking distance of putting the Senate majority back in play I want you to not go negative yet because I want you to understand talkk about these victories and what they are. And let me read something that Robert Rich wrote on Substack about these elections. Pundits eager to declare a new movement or sound the alarm about socialism are having a field day, but they're wrong. Voters who have supported these candidates haven't done so because they've been particularly attracted to the idea of democratic socialism. Most even don't know what democratic socialism is. in reality voters. that's right have been attracted to vigorous young people who are committed to getting stuff done Steve Bannon said nearly the same thing, which was really interesting. And I would agree talking to like Louis like he' just sick of people not getting stuff done, like and looking for something else Which is interesting. What are your thoughts on this? I think Rich and I hate to say it, Bannon are correct. I think that's exactly right. The establishment didn't lose on policy here, Kara. They lost on energy And Look, I've been calling for disruption of the Democratic partarty. I think Leer Jeffreries and mininority Leer Schumer are absolutely the wrong people to provide the kind of robust energetic pushback that The Trump administration Wrant But here's the thing about disruption is you don't get to pick the exact calibration of your disruption. So for example, I consider myself a moderate and I'm convinced that the true litmus test of someone is truly im moderate is everybody hates you But you don't get to So think about the senators who are moderates like Fetteran and Manchin. Everybody hates them. So people claim they want to moderate But when someone actually shows up and occasionally agrees with the other side, they become an apostate At the same time Guys like me claim we want disruption. We need to disrupt the Democratic Party And then when it happens, we freak out about it But here's the bottom line, there's a lot to like here. And I say this full disclosure. I have given money to Senator Michael Bennett for everything he has run for for the last ten years. I hosted a fundraiser for him for president Yeah. By the way, if you get money from me, it's not a good sign. But I think the world of Senator Bennett Former school superintendent, one of the most credential people in the Senate.Qalify. Lost to a state agG, nobody had ever heard of a year ago Here's the bottom line. if you want disruption, you don't get to pick your form of disruption and these candidates They are there's a lot to like about these candidates. They're young They're energetic. They're unafraid. They don't have a bunch of blather about how you would go about universal health carere. They're just like Medicare for all So there's a lot to like about them, but the reality is for those of us in the center We don't get to pick our flavor of disruption. What I would say that bothers me is that And Democratic socialists effectively want socialism to democratic means. The reality is if you really look at history, socialism just doesn't work, folks And they will always point to well, what about Northern Europe Northern Europe is actually more capitalist than we are right now. They just have a social safety net and they spend They call themselves thatat though, don't they? mean you always you always thread about Sweden, for example, or the Netherlands Yeah, but they're they're But here's Here's the system that's worked Democracy. Iividual rights and capitalism Call it what you want when you start when you don't, when you start believing that you should have government sponsored Grocery stores or that you shouldn't have border. I mean, that shit, quite frankly, it just not only doesn't make sense, it threatens our ability to win the midterms. Rah Emmanuel had a fantastic statement in the thread we were on and he said it publicly We have to stop arguing and atomizing ourselves between blue and coobal blue So I'm more focused on my energy on you the grift and corruption and just stupid decision making of the Trump administration. The thing so there's a lot I like about this disruption You don't get to pick your flavor of disruption, and you know what, young people just want change. They just want change. I' interestingly, I was just on Scaramuchci's podcast and he said he actually has been impressed by Mandani and he was very against him. He was sort of where you are, right? Yeah kind of That's. And he's like, I have to say, he's effective. And I do think they're not looking for necessarily just upsetting the incumbents. They want peopleople who do shit And onene of the things about Weiser and I was watching this thing is he was just a more energetic campaigner. He wanted your vote more And it was it wasn't necessarily much more liberal. It wasn't that because Michael's pretty liberal relatively speaking, right? especially in Colorad.. He just looked like he could like, he like he just was energetic and not just fake fake enery. not just fake energy, but maybe like what Kennedy felt like back in the sixties, It was like, I literally just want you to do your job. like I want and I do think I think you're right about capitalism. I agree with that, but it needs to have everyone gets health carere. That is not I think that's a really good message of the Democratic social and everyone else. Everyone should get good healthcare. Everyone should get a good minimum wage. everyveryone should get, you know, and what's incredible, I'll tell you really absolutely struck me and I I finally realized that the Republican partarty is in seven ways to Sunday, what's coming next, not I mean, post Trump. was Mam Dani said, can everyone like we have an electrical grid problem probably coming up with this heat because there's a huge heat warning all over the east Coast, including in New York. And he said, if you could put your air conditioning to seventy eight versus seventy four, that would be great. That's all he said immmediately pros And Nki Haley, I told you, she can't help herself said communism, right? or social this is what socialism isn. Immediately, their tweets from many years ago were when she was governor of South Carolina. and he the same thing in Texas, where they asked people to put their air conditioning down sururfaced What is wrong with them? Like he was asking a normal thing that they themselves had asked for. The minute they jumped on it, they were trying to do socialism, they look like idiots and everyone can see it. And that's why I told you Nikki Hoiley is impossible. She's never going to win anything because she's so such a sucker in so many ways. It was so not sensible. He was saying something sensible and everyone sees it and did not immediately think communism about the air conditioning, even though I love air conditioning. And so that to me is they're vigorous They're vigorous young people who want to be effective That is what I think is attractive. I don't disagree with any of that. And the thing that Mam Doni and some of these people are doing The most admirable thing about Donald Trump, President Trump is action orientation It's ready fire aim. It's like, no, I'm going to do this. but we're doing it. And the courts might challenge it and we might have to roll it back, but Americans really respect that. And Mandani, to his credit, immediately imposed certain taxes, certain policies And I think young people think, well, at least he's fucking doing somethingomething. Now The glass half empty for me is the following Whenever the far left and the far right agree on anything, it's a really That's a tell, it's a really bad idea. I believe they both the far left and the far right come together on what I believe are anti Semitic themes They both come together on an isolationist foreign policy And What I see here is they both come together a on socialism as an economic policy. Donald Trump is investing in Intel. Donald Trump is entertaining the idea of investing in open AI. Donald Trump believes that The government should have a golden share on U S. steel. All that happens when you do that All that happens when you do that is you end up with warehouses in Ireland full of DLoreans in air France. And you see a lot of that rhetoric from the far left. we absolutely need a more progressive tax structure, but here's how you get to a progressive tax structure The thing we spend the most money on is not the military. It's not our debt. It's not even social security The thing the American government spends the most money on, we spent two point two trillion dollars. O givebacks fromr the tax code in the form of loopholes to corporations in the wealthy We need to reduce spending. Tax loopholes and give backacks to the wealthy and corporations And if you look at Northern Europe They're very capitalist. They let companies go out of business. They don't take stakes in Spotify. Their tax rates are either the same or a touch higher than ours. But what they do is they enforce them. And they say Spotify You don't get to ride off your jets, your plant property and equipment and the richest people don't get to have donor advised funds where they get to write off donations they haven't made yet So but what I what I don't like about I mean, quite frankly, there's some things that really bothered me about The wins in New York is I felt like like being anti Israel with a litmus test, obviously as a Jew that concerns there was one. There was one. Thelander is not Chevalier. Yeah, Chevalier is the problem. Yeahah. By the way, she's going to be the poster child. She's about to become the poster child for Republicans in twenty. No question. Anways let me circle out to where I started I don't get to pick the calibration in the color and the flavor of disruption Disruption, they're youthful They're energetic, they're unafraid And that for me is seventycent or eighty percent good. Do I worry that they're embracing a form of socialism that has never worked throughout history? Yeah, I trust they'll be modulating forces from the center on both sides on that. Yeah. But the reality is we need the Democratic partarty needs to shed its skin. leadeader Jeffrees And Schumer A getting glare signals No one gives a fuck what you think. You have become Institutional endorsements have become a liability. Just as we thought US bases in Gulf states would provide a veil of protection, they'd become bullseyes You're going to start to see Democratic candidates say, Senator Schumer, please do not come to my rally They are. They are actually. They're like all talking about whether they'd vote for him. He's gott to go. I've swollen that to his face. He thought I wasidding. I was like, no, you need to step 's like He's like, ha,ar. I was like, no, time to go. Time to move along. I mean, we don't want to mitch McConnell the situation. These guys cling to power like an African dictator, which I'm sure is a hate crime. Yeah, ye I was like, we don't want to mitchconnell situation here. We want to move along. anyyway. I agree with you. It's exciting. I find it exciting. We need a disruption. Yeah, good for them, youth energy, have at it. I think it's a good thing too. I like non cautious people. I do. I think the Democrats have played it too cautious Anyway Let's go in a quick break when we come back, the Supreme Court finishes its turnerm with some major rulings. That was something. Pore for the show comes from Framer. If your team wants a website that looks and feels handcrafted but is still fast to ship, Framer is built for that. You design on a visual canvas with responsive layouts, hosting and a CMS built in, so the work is production ready from day one Agents work alongside you to draft pages and polish sections, then you review and publish what goes live Framer is the pro side builder for creators, teams and businesses that want a professional site and care enough to get every detail right. 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Allergic reactions can include rash, welts, asthma symptoms and dizziness. D'tceive Botox if there's a skin infection Tell your doctor your medical history, muscle or nerve conditions, including ALS Lgaric's disease, myastheniaravis, or Lambberd Eaten syndrome and medications, including botulinum toxins, as these may increase the risk of serious side effects. Why wait? Ask your doctor, visit Botoxpronicmigraine. com or call one eight hundred four four Botox to learn more We're back with more news. It's been a big week for the Spreme Court as it wrapped up its term. Let's go through a aroundound some of the cases the court ruled on. The court struck down a federal law that bars the president from firing members of the FTC. so no more independent agencies, essentially. They lifted limits on how much political parties can spend on advertising and other expenses with candidates of problem more Citizens United, upheld two state laws barring the participation of transgender female athletes from girls and women's sports team and upheld birthright citizenship striking down an executive order. Let's hear some thoughts from Leah Littman, who co host the podcast Strict Srutiny, which breaks down all things Supreme Court Hey, Karen, Scott hereere are some quick thoughts on the most recent Supreme Court. We came within a single vote, one vote of saying the Constitution doesn't mean what it says on birthright citizenship and nullifying a constitutional amendment that is the foundation of our constitutional order of multiracial democracy after the Civil War They have also been systematically undermining our democracy, killing the Voting Rights Act, enabling partisan and racial gerrymandering. They've also just killed campaign finance regulations that were designed to prevent political corruption. As a result The super rich will be able to effectively funnel more than five hundred thousand dollars directly to candidates in the upcoming election. and they have been killing Congress's capacity to govern at expanding presidential power against a backdrop of a president who has been engaged in corruption, and pay to play And that is just the start of it Yes, I think she sort of articulated it. the ones that really upset me and the birth rate citizenship was far too close, far too close.. that was disturbing. And by the way, a lot of the Trump people have to go back home wherever they come from. The two that really upset me to me is this Voting Rights Act, obvious Voting Rights Act, abbsolutely. But the finance, to me, it's all the money. the finance regulations designed to prevent political corruption. that was more Citizens United, it was the last thing we need. And then secondly, the ability of no independent agencies on things that deserve independence like the FTC And you've seen what Brandon Carr has done, although one of the justices did say Brandon Carr is a moron. part of his essentially said that in his ruing, I think it was Kavanaugh could have been Gorsic, whatever. they look the same to me. So those two were like giving more power to the president in general, which I think will be just as bad with a Democrat and is terrible with Trump was two problems, but the money to me was the focus the focus I had. What about you? Yeah, Citizens United is arguably one of the worst things that's happened in recent history to the US because of the nine hundred billionaires, they make up a third of political giving. It's probably more than half of influence because they can be much more targeted. You know the union just give money to whoever's the union candidate But a private equity firm can give seven hundred thousand dollars to Senator Cinema and say just be the holdout for the infrastructure bill and ask that they strip out the carry an interest loophole. And that costs twenty or thirty billion dollars, which is the most ridiculous loophole in history see above two point two trillion dollars spent on loopholes where private equity owners get their commission on investment gains in the form of long term capital gains. It's totally indefensible So That's that's bad. The silver lining, the dotted silver lining on on this out of control spend is that what we're finding is it's past its utility and that is It used to be twenty years ago, like ninety seven percent of the time who raised the most money oneon. Yeah, it's no longer happening. Like Tom Styr spent a quarter of a billion dollars and didn't win. It's almost like the full local news station emmployment actct The amount of money they're spending, on the whole, it's really bad But what you are seeing is it's no longer the key fulcrum for who or the key lever for who wins The thing that that upset me the most it was just so frightening that we was even this close was birthright citizenship I mean, this is the Constitution Just straightforward. The Constitution says, if you're born here, you're a citizen. It's right there. And I'm going to give you a couple anchor babies Balligan who got a red card unfairly, the attack the preremier striker for the World Cup team. His parents were here. I forget she couldn't go home. She was born too pregnant She was too pregnant. I think the airline said you're too Yeah good for us, right? And also It's a fairly small number. It's only seven percent. It's a fairly small number of babies. It is. The whole word anchor baby is so fucking ridiculous. N only that, but to a certain extent, this is what we don't like to talk about Immigration is not only the secret sauce, it's the most Illegal immigration is probably the most profitable form of immigration because they're risk takers And they generally fold back across the border when the crops are picked or there's not enough demand for them and they pay taxes and they usually don't stick around to collect social security and they usually don't call the fire. They commit crimes at are a lower rate than citizens. The reality is we didn't just wake up And find, oops, there's fifteen million undocumented workers here. Republicans and Democrats have looked at each other and gone, wink, wink, it's nice having cheap housing being built in Phoenix, Arizona. Or kicked for cheap or wh. And how we going to get all these people to wipe grandma's ass for eleven bucks an hour? I mean Asian immigrants are the biggest nurs nurses aids. I mean so it's not this has been an economic decision. Has it gone too far Absolutely, But be clear folks, we didn't just wake up and let this happen. So Balligan is one anchor baby. You know who else is anchor baby? Carolia Trump Baron Trum. You could say she's a male orer bride. She's not anchor baby. She wasn't morenar.rue, sor Your co host, Cara My parents At the ages of nineteen and twenty four got on steamships from Glasgow and London respectively. and they landed in Canada where my mom was a stenographer. And my dad was a candle salesman. They met at a dance, they fell in love They sex there. So the conception was Canada. In Toronto They claim they got married and had me. I'm not sure if that's true. I'm not going to argue it. I don't care. But They decided they could not also No I'm a pass. No was my dad said. My dad said A few inches we short of the blanket, whatever that means And by the way, he was a bastard. He was born. He was born in Australia wed to an unwed woman who was a nanny at the McViggar family. T have families really. Literally we werere bastards all the way through. I am the Joonn Snow of Johon Snows. And and anyways, my father basically my father's My father's mother freaked out, said to her boyfriend, we got to get out of here. I've already sold the baby to this wealthy family. and they literally went to the dock and got a shipped to Glasgow, Scotland. Anyway My parents My mom's seven and half months pregnant. Yeah They said that we cannot endure another winner here in Toronto And they read an article in the Toronto Gloobal Mail saying that the best weather in North America was in this town called San Diego. San Diego. So they loaded up my mom's Austin Mini Metro, which is basically a lawnmower with doors. likeike if you've ever seen mister Beam, that's the car. in seven and a half months pregnancy. No idea My mom and my dad. Drove to San Diego and something like thirty seven days later. I was born at Lo were not County Hospital. They were Oh no. Is it? And let me make a flex. I'm a U.S citizen. Why didn't I know this about you I am a U.S. citizen. I've had to pay US taxes. Yeah. Me and my companies have paid well over a one hundred million dollars in taxes over the last thirty years It seems like it's worked out for everybody. And I just want to notify the IRS and the Trump administration. My mother, I am an illegal anchor baby. I think my citizen should be revoked. And by the way, when I sell my next company, I'm going to be in Dubai and I'm not going to be subject to US taxes. I am down for you to revoke my U. S. citizenship And also abdicate, absolve me of all and refund me of all the tax payments I have made because my parents decided to comeome to the US and you know, drop a nine pound stone called Scott. in San Diego instead of Toronto. Anyway, I would imagine that There is more of Uh Baligan. and Gallay, then there are people eating cats and dogs They were born in the U.S. Right or just showing or running across the border or be pregnant. The screed from Stephven Miller, who I cannot wait till he gets his reckoning astonishing. so hateful and like ridiculous and full of lies that it's it's so full of this whole their whole and let's not use the term anchroby because it's so gross It's such a gross way and hateful way of looking at it. I had know Scott, you could have been sent back Wherever, whereere would you Canada Where would you have been sent to? Do hear that fucking weirdo talking about eugenics that people should be sterilized before they get here? Yes, I know. Right. not allowed in nineteen thirty nine Germany is calling and wants you back. I know. Wait a second, whereere would you go? What country would you go to That That's the other thing. Wh do we send them back to ight? Bea would you go to Canada If this passed, like you would send them. peopleeople are leaving. Last year was the first time since World War two we had no negative immigration in the US. Lost at the Spreme Court, which you could have, right? Where would they send Scott Galloway back to? Was it Canada or is it England or is it Scotland? Like what country do you are you from ry are you from? Oh, my parents, my parents My dad is or was a Scottish or British citizen. My mom became a citizen of the US. but I guess back to the UK. I don't know. I don't know That's interesting, Scott. Well, w, God, I had no idea. Well, okay. Well, I'm glad you're safe. I'm opening a bar in Staint Bar's, so I'm a French citizen. Okay. But then have then I have to root for team France and I just can't do that. Oh yeah. I just can't do that. All right, well, this is some news I didn't know to think about afterfter saying Team Japan, has there ever been a product that's been better for the umbrella brand than Team Japan? Did you see what they did after they lost in a heartbreaking loss to Brazil They all walked over to the Japanese side and they bowed to apologize their f. Oh, they did. Oh. Th I think I'd like I want to move to Japan anyways. Yeah. I would love to spend more time place. I lived there for a couple of months. I loved it. All right, otherther supme courourt is, Wow, Scott this I need to alulate the situation You need to get me kicked out get you kicked out. You like out callalling Stehen Miller. I'm going to ask everyone for their ID when they come and be a guest host. In other Supreme Court newews, by the way, NPR retracted an article saying that Samuill Alito, another piece of shit, sorry, Samuel, but you are. had retired, reporter Nina Tottenberg has said she heard retirement announcements were coming and mistakenly assumed it was Alito prompting team to publish it prewritten story U that seemed like odd. It seemed like that. I think he's probably leaving, right? He's going to have to you're going to have to. He's got a he's got two years left to put in you know, younger versions of Alito and and and u Thomas, I guess, cororrect. Why would you think these people are any less narcissistic than Ruth Better Ginsury? They all think they're going to li forever Oh, they may not leave. Oh, interesteresting. You don't think they'll do it for the take one for the team kind of thing? Well, that's what Sutor did. I think it depends on the individual and I just don't know well enough. RBG I mean, RBG and Senator Feinstein, both lovely, important women who really forged path screwed who really put a unfortunate punctuation mark at the end of the centence of their career by believing they would ever die Oh do you think Al leader will just stick around because he lo I have no idea what he's like All his. And by the way, in the in Thomas's whatever, his anti, whatever, he like mentioned Dred Scott an awful lot.'s like, which of course was a terrible thing. fourourteenth Amendment is here to protect all of us. So it's glad that it's there. They're going to try to they're going to try to take it down, but they're going to be as successful Protect podcasting and erectile dysfunction drug sales. Exactly. Anyway, let's go on a quick break. and we come back, we'll talk about SpaceX donating to Trump accounts Hey everybody, It's Megan. I am bringing a touch moreore of the Beautiful game live to New York City. and I want to see you there july seventeenth, I'm sitting down with a very special guest for a live taping right in the middle of the World Cup. Doors are going to open at six thirty and we're gonna keep the party going with a little reception after. come watch us do the thing live in Manhattan, presented by Noregian Cruise line, grab your tickets at boxmedia dot com slash meegan Again, grab your tickets at boxmedia. com slash Megan Ro C upp live taping, y'all Is Donald Trump still cool? Well, at first it was what he was promising to America. He was promising change. Yeah That's a big change. Has he lived up to that? No, no. I wouldn't say so. I was I was disappointed. We're in Washington, D.C for one of the events that Donald Trump is throwing for America's two hundred fiftieth anniversary, and it's UFC night. Proud to be American, we got free tickets It's gonna be a great time. That's about it. It's an opportunity to talk to a group that was central in the twenty twenty four election, young men Why do we think Trump and men seem to have a connection? just knows how to advertise himself to younger proud. In alignes of masculinity, I feel like, too a certain extent If they don't like Donald Trump, what do they prefer politically otherwise?? I Care about my family, I care about my country. I want people to be safe and happy where they live. Care about my wallet too, man. Yeah. I'm Estad Harnon, and this is America Act. Catch us every Saturday on YouTube or wherever you get your podcast . I'm standup comedian John Marco Serezi, and I'm actor penis model Russell Daniels. The downside is our podcast where we bring on guests to talk about how miserable their lives are. becausecause let's face it, things are not getting better. Every episode we talk about what's wrong with our lives, our guests lives, the world But in a fun way. Bottom line is you're gonna walk away feeling better about your life We've had so many cool guests, Caleb here on Busy Phillips, Stavros Halchias. Laverne Cox. Hassan Piker. Alana Glazer. I promise you're gonna have a good time. Now on the Vox Media podcast network. This is the downside. Scott're back with more news. The Trump admistration has talked with SpaceX about donating stock to the administration's Trump accounts Child' savings program. It's unclear whether Elain Musk has agreed to that or how it would be structured. Trump accounts are set to launch on july fourth, with over six million children enrolled. Other big donors include billionaire, Michael Dell and his wife in companies like Black Rock and Bank of America, which have agreed to match donations made by employees Also, apparently open Ay is reportedly also discussing giving Trump administration a five percent stake in the company. proposal that reportedly involved other US AI companies also giving governments similar stakes is to me, it was really interesting. Paul Graham had a really interesting point. The reason that OpenA was doing that is because they don't get asked for ten percent. Like I thought that was true. This all feels like a shakedown or you get something in return for doing this kind of stuff. I don't hate the idea of accounts. I don I wish we hope we will be renaming them from Trump accounts to something else, USA accounts But it seems a little socialist to me. I don't know. What do you think Again, it's where the far right and the far left meet did with just different objectives and different claims. Open AI offering the government a five percent equity stake is essentially to buy protection, neutralize regulation, walk in a government anchor client It's not patriotism, it's protection money, it's em moote And you don't think they're going to be the first to get government contracts versus other AI startups It's also the beginning of what I think is going to be one of the biggest bailouts in recent history, and that is we're starting to see cracks Yeah ye Cracks in the wall where there's fewer people, fewer companies have actually figured out a way to create demand. There's only a two now, open AI and it dropp it consistently and they're their spend and CapEx commitments are so out of control that I think Sam Altman says, I like the idea of the full faith in backing and maybe even government back deb. Right Yeah. from the president Bail out. And here's the bottom line, The government should not the government should not be taking equity stakes and companies, they just shouldn't I mean, there are some exceptions occasionally when I do think you can make an argument in the Great Financial Recession that it made sense for the government to bail out the automobile industry because it was a huge employer But they didn't start saying you can only buy forords or occasionally saved Tesla's ass back when These companies have gotten trillions of dollars in market cap, let them run. I mean, this is just straight up cronyism, privatize the gains, socialize the losses., Can I ask you a question? One of the things Alph Carp seems insane every time he opens his mouth and you know hopped up on something, but he was going on sort of cogent I thought he was very cogent. I do too. And I had to listen for a second because he's so nuts. He always throws in some nutball thing on the side and his manner so. But what he was saying is something that Cuban had said to me previously, is this token maxing is going to come back to bite people and that when people find people are cheaper than the tokens, it's going to sort of collapse. Mark Cuban said this absolutely first to me months and months and months ago. And Carp was articulating this idea of these open systems mostly from China, as you predicted, Scott taking the place of with regular corporations. And two things he was saying is one, keeping your data yours and not giving them to open AIs and anthropics. And secondly, the cost of these tokens is really untenable. And as nutty as he is, and he took a number of like slaps at competitors because he can't help himself He made a lot of sense. I can't believe I'm saying this too. But he did, as I was I had to listen to it twice and I was trying to think if I could put it in someone else's voice because I every time I hear him, he says nutty things, but What tell this is the kind of thing. I was like this is going to collapse And a bunch of economists, all of these world economists are all worried about these cracks that you've talked about. So talk a little bit about this. because this idea you had the idea of China, these open systems from China replacing and sort of knocking the stuffing. You have these economists saying this, you have CarP saying this Again, I want to give credit to Mark Cuban for being the first to mention it to me. U alk a little bit about this because all this like government intervention seems really problematic going forward. The government intervention is bailout cost plan growth. and Carp is right. Cheap models are eating the expensive ones The token consumption of Chinese models has surpassed the token consumption of frontier models in the U.S Because all of a sudden, the CFO of Uber goes, ourur entire AI budget was burned through in eight weeks and I don't see An consumer talking about the improvement in ride haaling service. I don't Or it's not improving. It's not improving it. Well, it's sort of like experimentation is over. This can no longer be a magic trick. You either have to incorporate this into the deploming and show me ourI. We're going to reduce our budgets here And AI is following kind of the same curve as cloud computing and that is margins compress This reminded me of ' ninety nine and tell me if you think this analogy is a Okay, so The internet comes and we think everyone's going to buy their dog food and their cars And Peps is going to buy their sugar online on the internet. and we're all going to buy not just CD's and books, but we're going to buy everything online And there's the front layer. So everyone invests in Amazon and eTys and, you know, pets d. comot And it ends up that they're just not nearly creating enough demand and not enough commerce is going through e commerce to justify anything resembling the valuations these companies are getting So they go, o wa We're not sure which part of the application layer, which LLM, if you will, is going to win So let's all invest in the infrastructure layer and everyone invested safely and like I can't pick the winners. so I'm going to invest in Cisco or in Telco infrastructure. And Cisco hit an all time high, lost ninety three percent of its value from ' ninety nine to two thousand one I see kind of the same thing here where everyone's saying All right, let's invest in the demand side XAI, Lama. U u Gck Claud Chat GBT and all of a sudden, it looks like the demand may not be as exponential as we thought. Or it's too costly. Or it's too expensive, ye, which lowers demand. and Some of the players who thought they were going to need infrastructure for their own demand Specifically Ma and XAI have said, we overestimated the demand of our own LLMs, so we're renting out our infrastructure. In a matter of thirty days, it looks like we've gone from a supply crisis to a demand crisis And what you'll see, I think is just as in ' ninety nine the first comies to crash were the B to C Then it went to B to B. Oh wait, not pets dot comot let's go to remember. Internet Capital Group. they're selling Oh my gosh. suugar in between You know, from farmers, right? I totally forgot about I wrote so many. It had a valuation greater than general electric. and then everyone figured out no one was buying fucking anything. And it was easier to fax your orders than it was to go on the Internet Capital Group website And then everyone went to we' going B to C, then B to B. Ba C gets creamed B to B then gets creamed and then the infrastructure guysy got cream. I think we're sort of going through a similar cycle right now Obuilding. And we're starting to see the beginning of the cracks at the application layer saying People are questioning the amount of money They've they're spending on anthropic and open AI. What's evidence of that Open AI and Anthropic are considering delaying their IPOs. Yeah I agree. And I do think one of the things I think we'll recover would be computing demand because there's only going to be more computing demand eventually. And I think that's what happened with all those interternet companies. likeike look, there were million I forgot about ICG. Oh my God. you just brought me back You know, everyone remembers pets dot com but you know eventually there'll be a Google, right? Eventually there'll be a Facebook. The technology will survive. compomanies will survive. I would bet computing is an area you would want to eventually once it crashes, buying it up would be a smart thing, righting apppps would be an important thing, like understanding where it's going. But you're right. Th are a lot of these companies aren't ready to buy these things and prices have to come down. and then that'll have a knock on effects of Oracle and all the others who have, you know a lot of other companies will be affected in the blast radius of this. I agree. I think these economists I was reading the report from this thing, and usually I don't pay that much attention to like predictions, but I was like, this makes perfect sense of where it's going. And it does have a feel. you're absolutely right of nineteen ninety nine. Amazon's an amazing company From ninety nine to two thousand one and I lost ninety two percent of its value Um Matt is an amazing company. Four years ago in twenty twenty two, it lost seventy two percent of its value These companies, the natural curve of these companies is very volatile And the technology and these companies will survive and they will be great companies Or Can they go down ninety percent in value? The answer is yes. Yeah. I agree. This feels It just feels so ninety nine to me. It's like when the government meddling makes it worse yeah, proropping them up. because Trump is like, my entire administration America iss a giant bet, whether it's the GDP growth CapEx spends, earnings growth and in the S andP is all a big bet on AI. His political money. If these guys go down, it's going to be really rough for me. I'm telling you a bailout is coming. Yeah. One would assume, Yeahah, 'cause there's a fuse from America. Yeah, you're right, one hundred percent. All right, Scott, one more quick break. We'll be back for predictions Queen Carvania stood haloed by the morning sun An army hung on her every word. My champions, I have sold my chariot on Carvana. 'twas a lovely SUV, an inexplicably queenly offer. They're even coming to the castle to collect it. Tonight, we feast An offer you can feast on, seell your car today on Carmana. Pick up these Mifly No one could blame you if you thought this men's World Cup was going be a disaster. The President of the United States isn't exactly a welcome mat for the world, and there have been plenty of embarrassing stories for the country. There was the mom of Cate Bird's goalkeeper who wasn't let into the United States to watch her son play until the team started doing well and people clamored for her entry. The team from doctor Congo hadn't made a men's World Cup in fifty two years and hardly made this one The United States was supposedly worried about Ebola even though no one on the team had Ebola. If you were watching Senegal Norway last week and were wondering where all the Senegalese fans were They weren't let into the country, but you probably notice we let in like a million Vikings? I wonder what's different about their fanbes Oh, and who could forget we're literally bombing one of the countries that up until Friday was playing here? Missiles aren't the problem But But somehow the vibes at this World Cup are mostly positive. The World Cup might just be healing us O today exxplain from Box. I'm Seth Mattins. My new show, Creator Destroy reimagining Marketing explores how every decision a company makes, not just the marketing ones, but the HR, IR, pricing, or design and planning ones Oes most don't consider marketing at all contribute to either creating value or destroying it. Each week I sit down with CMO, CEOs, founders, cultural thinkers, the people building, breaking and reimagining how businesses grow or don't for conversations about what creates value and what destroys it It's a business show, it's a marketing show Trader destroys the show that argues, they've always been the same thing Fox Media Podcast Network and the Wisdom is com New episodes drop weekly on YouTube and your favorite podcast app. Okay, Scott, before we get into this week's predictions, I want to play a prediction you made last week at Can My prediction is the biggest IPO in terms of first A pop is going to be a European the Berkshire, Hathaway of forgotten Internet brands And that's this company called Bending Spoons that I had not heard of until two weeks ago. I'm kind of fascinated with it Well Scott take a victory lap, Bnding spoon surged forty percent after the company's IPO this week. What's next before you get to your prediction. Well, it's the first off, the company was up So sppaceax is up, I think, twenty twocent or twenty three percent. We predict it'd be up twenty Benning Soons was up close up, I think forty two percent yesterday. They're going to have to show that they can scaled a model of buying stuff you know, ex EBITA and then orphans. These orphans and then substantially reducing costs which is Latin for higher younger people and replace the expense of forty year olds. And to their credit, they have some of the highest revenue per employee of any digital company right or any internet company But they're going to have to show that they can consistently make these accretive acquisitions. What this really is is like Martin Searle kind of pioneered this model. He went and bought all the big agencies. I don't even remember them now. Ogilv Mayher. He could go in and buy these companies at seven times EBITDA or eight And they'd immediately he'd take their earnings and the market reward would reward them with twelve times They're going to have to show that they can that this model, this private equity like model of acquiring companies, they don't get them cheap. They get them for a good price, you would argue that their ability to reduce costs, continue to see growth, add some growth, organic And then the market will give them a markup. They're going to have to show they can continue to. Theyly down right now today. They're going down today. Well, to be clear, the valuation last year was it was about seven billion. It came out at nineteen billion. It's trading at about twenty three now The stock's not expensive, but you would argue that they're going to have to show sooner rather than later their ability to continue to scale these types of accretive acquisitions So but I thought when I talk to, when I looked around and I said, okay, all of the oxygen had been stucked out of the air for SpaceX and when these guys came out it's seven or eight times earnings. and all of those brands And the fact they were only raising a billion half dollars, I thought this thing's going to get I mean, this is a sad part about IPOs. This is what I believe JP Morgan and Goldman Sachs are doing. and that is they use AI and their incredible market insight and their incredible marketing machine They are the new engineers. They engineer a twenty plus percent pop on day one because the reality is that is the ultimate branding event. Ewhere in the news today is that Italian company Bnding Spoons is up is up twenty percent. And personally, I wanted to see the company go up and the reason I brought some sunlight to it was because I am so sick of talking about American AI companies. I love the idea Yeah a European company that's not AI. And also cleanup, a cleanup company. You know what's interesting is that I' just looking at the meta thing, there are twenty the PU ratio is twenty, which seems healthy. and that SpaceX is more is valued at five hundred a billion dollars more than them is insane. That makes no sense. I don't care how good they are at robots. It's just nutty. What he'll do is he'll fold Tesla into this. but As I've said many times, which is another anchor. twow acres. Yeah, two acres down each other. But it is there are some real values here, Right? Like Mada seems to be. make met on a price earnings basis. I don't think's ever been this cheap. And the cheapest of them all and was my big tech stockpick for twenty six Amazon has never had a price earnings ratio this low. Yeah, what is there as wow. you know, G alphabet is twenty seven. that is twenty one. Amazon, you're right is low, twenty nine. Yeah, and it's usually it's average over the last twenty years has been fifty five U And itways, industrialized robots all gone forever, but So my prediction is um, that essentially And I said this, we're starting to see cracks in the wall around evidence. And I think it's nuanced, not definitive It's not cracking because AI doesn't work. It's cracking because investors are starting to ask much more pointed questions specifically Can we actually earn a return on the trillions of dollars being spent here And The evidence there's evidence that the narrative around AI is changing. and that is Capx is out running monetization. The largest cloud companies are on pace to spend six to seven hundred billionars on AI infrastructure just this year Y had many enterprise customers are struggling to demonstrate measurable ROI. And that is the narratives move from can AI work to can AI pay? And it used to be spend more money. This is the future infinite demand. And it's like, well, hold on. CFOs are starting to tap the brakes here And the market is splitting JP. JP Morgan noted the divergence. AI infrastructure suppliers continue to outperform And the companies writing the biggest AI checks, the hypersalars have begun to lag That's reminiscent again, of late stage infrastructure booms where the suppliers prosper before the customers earnadeequate returns And also Wall Street, as it does, eventually focuses on ROI. And the debate has shifted from twelve months ago, the debate was Who can build the biggest model? Now it's who can make money And and one of my role models here are this fantastic chief economist who by the way, has, I think a much better sense of humor than certain chief Investment officers at other big banks, Apollo's Torsten sllock. Does he like a dick joke I think Toristen loves a good dict Jure, but I'm not going to speak for him. I'm not going to speak for him. But he puts out he puts out these fantastic emails every day with a chart And he argues that the markets may be pricing and productivity gains that will take years. quarters to materialize