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Opportunity Zones 2.0: The Tax Strategy Most High-Income Earners Still Don’t Know Exists



The stock market has been on an unusual run. The S&P 500 hit its 27th record high of the year recently, pushing the index up more than 13% since January.

If you’re a physician with a brokerage account that’s ridden any part of that, whether it’s your own portfolio or a practice buyout that landed as stock, there’s a good chance you’re sitting on a gain you haven’t touched. And it’s probably more concentrated in a handful of positions than you’d guess just from looking at the balance.

Most physicians in that position have never heard of the tool that could actually change what happens next. It’s called an Opportunity Zone Fund, and the program built around it just went through the biggest overhaul since it was created in 2017.

This post walks through what it is, what changed under the new rules known as Opportunity Zones 2.0, and how to think about whether it’s relevant to your situation.

Disclaimer: This article is for informational and educational purposes only and does not constitute financial, legal, or investment advice. Any investment involves risk, and you should consult your financial advisor, attorney, or CPA before making any investment decisions. Past performance is not indicative of future results. The author and associated entities disclaim any liability for loss incurred as a result of the use of this material or its content.

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What an Opportunity Zone Fund Actually Does

Here’s how it works in plain terms. You have a capital gain, from stock, a business sale, or property. You invest that gain, and only that gain, into a Qualified Opportunity Fund (QOF) within 180 days of the sale.

That last part matters more than people realize. Say you bought a stock years ago for $50,000, and it’s worth $150,000 today. Your gain is $100,000. Your original $50,000 stays yours entirely. It’s already been taxed once, and you can spend it, invest it elsewhere, whatever you want. Only the $100,000 gain needs to go into the fund.

From there, two separate things happen, and they’re taxed completely differently.

The first is the original $100,000 you deferred. It doesn’t disappear, it comes due eventually. Under the current rules, that happens five years after your investment date. If you hold the full five years, you get a 10% discount on it, meaning you’d only owe tax on $90,000 of it instead of the full amount.

The second is whatever that $100,000 earns once it’s inside the fund. If your investment grows to $200,000 by year ten, that’s $100,000 in brand new gain on top of what you put in. Hold the investment 10 years or longer, and that new growth is excluded from tax entirely, not deferred, not discounted, excluded.

What Changed Under Opportunity Zones 2.0

The original 2017 program was never built to last. It had a built-in ending from day one.

There was a single map of zones, drawn once in 2018 with no plan to add more. And there was a single deadline for every investor, regardless of when they got in: any deferred gain became taxable on December 31, 2026.

That structure is gone. The new law made the program permanent, and it did it in two specific ways.

First, new zones now get designated on a rolling 10 year cycle, indefinitely. The permanent program keeps the basic deferral mechanism in place, with new zones eligible for investment starting January 1, 2027, and roughly 6,500 new zones expected to be named. When that decade ends, a new map gets drawn, and the cycle continues.

Second, and this is the part that actually changes how you’d plan around it, your personal deferral clock now starts on the date you invest, not on a single date that applies to everyone. Investments made in 2027 or later are subject to a rolling deferral model, letting investors defer gain recognition for up to five years from their own investment date, with a 10% step-up in basis if held the full five years, or 30% for qualified rural funds.

There’s also a rolling 30-year cap on the full exclusion of capital gain after a 10-plus-year hold, with an automatic step-up to fair market value after 30 years regardless.

Worth noting honestly: the eligible map for the new zones actually got narrower this time, not broader. That’s a signal this version is being run with more discipline than the original.

Why the Timing Actually Matters

This is where the market conditions and the tax mechanics intersect. A small number of stocks, Nvidia and Micron chief among them, have driven a disproportionate share of this year’s gains, which means a lot of portfolios are more concentrated than their owners realize. Nobody sets out to be overweight in a handful of names.

It just happens when winners keep winning and nobody rebalances a position that’s working.

For physicians specifically, this shows up in a few common ways: a brokerage account that’s been on autopilot since residency, RSUs from a spouse’s job at a tech or biotech company, or proceeds from selling a stake in a practice or an ASC. None of it was meant to become a concentrated bet. It just accumulated.

The trap is familiar. Most people don’t sell a concentrated winner even when they know they probably should, because the tax bill feels like the cost of doing the smart thing. So they hold, and the concentration gets worse, not better.

An Opportunity Zone fund is one way around that specific trap. It lets you sell, defer the tax on the gain, and redeploy into a different asset class entirely, real estate, instead of freezing in place because moving feels expensive.

The honest caveat here matters. These funds are illiquid, and you’re generally looking at a five to ten year hold to capture the full benefit. This isn’t a way to access your money faster. It’s a way to make a decision you were probably avoiding anyway, with a tax incentive attached to making it.


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How to Actually Evaluate This

A few practical steps if this applies to you:

Confirm you have an actual gain to defer. None of this matters without a real capital gains event, realized or on the near horizon. That could be a stock sale, but for a lot of physicians it’s a practice buyout, an ASC exit, or a partnership buyback.

Know the clock. You have 180 days from the sale to get the gain into a fund. This isn’t something to figure out after the fact.

Talk to a CPA before you sell, not after. Structuring this correctly after a sale has already closed is difficult, sometimes impossible.

Vet any fund like you’d vet any real estate investment. Sponsor track record, project timeline, substantial improvement requirements, and a realistic hold period all matter.

Place it correctly next to what you already know. Cost segregation, REPS, 1031 exchanges. This is one more tool, not a replacement for any of them, and not the right move for everyone.

The Real Takeaway

None of this is about being clever with the tax code. It’s about not letting a real decision sit frozen by default. The physicians who benefit from this program aren’t smarter than everyone else holding a concentrated position.

They just heard about the option before the gain happened instead of after.

If a capital gains event is anywhere on your horizon, even one you’re not fully certain about yet, it’s worth a conversation with your CPA before it happens.


Were these helpful in any way? Make sure to sign up for the newsletter and join the Passive Income Docs Facebook Group for more physician-tailored content.

Peter Kim, MD is the founder of Passive Income MD, the creator of Passive Real Estate Academy, and offers weekly education through his Monday podcast, the Passive Income MD Podcast. Join our community at the Passive Income Doc Facebook Group.


Disclaimer: I am not a CPA, attorney, or financial advisor. The information in this post is for educational purposes only and should not be construed as tax, legal, or financial advice. Please consult a qualified professional about your specific situation before making any decisions.

Further Reading



Aehr Test Systems Insider Sells $847,000 Worth of Stock


Vernon Rogers, Exec VP of Sales & Mktg. at Aehr Test Systems(AEHR -2.28%), sold 5,994 shares of common stock at $141.34 per share, according to a recent SEC Form 4 filing.

Transaction summary

Metric Value
Shares sold (directly held) 5,994
Transaction value $847,192
Post-transaction shares (directly held) 186,232
Post-transaction value $27.1 million

Transaction value based on SEC Form 4 weighted average sale price ($141.34); post-transaction value based on Aug. 17, 2026, market close ($145.61).

Key questions

  • How does this transaction affect the executive’s overall equity exposure?
    The sale was a marginal adjustment to the insider’s position, reducing direct holdings by 3% while retaining 186,232 shares with a market value exceeding $27 million.
  • In what performance environment did this sale take place?
    The executive disposed of shares after the stock experienced significant appreciation, marked by a 695% return in the 12 months preceding the Aug. 17, 2026, market close.
  • What is the nature of the remaining equity stake?
    The remaining 186,232 shares include unvested restricted stock units, which ensure the executive remains aligned with long-term shareholder interests despite the recent liquidity event.

Company Overview

Metric Value
Share Price (as of market close 2026-08-17) $145.61
Market Capitalization $2.5 billion
Revenue (TTM) $50 million
Net Income (TTM) -$7.1 million

Company Snapshot

  • Aehr Test Systems designs and manufactures advanced burn-in and test systems for integrated circuits, including logic, optical, and memory devices, with primary revenue derived from its ABTS and FOX-P families of test and burn-in solutions.
  • The company generates revenue through the sale of specialized semiconductor test equipment and complementary components such as the FOX WaferPak Aligner, FOX-XP WaferPak Contactor, FOX DiePak Carrier, and FOX DiePak Loader to semiconductor manufacturers and test service providers.
  • Aehr Test Systems serves global semiconductor manufacturers and contract test service providers that require advanced burn-in and test capabilities to validate integrated circuit performance and reliability across multiple device types.

Aehr Test Systems, founded in 1977 and headquartered in Fremont, California, is a specialized provider of critical test and burn-in equipment for the semiconductor industry. The company employs 138 people and maintains a focused market position serving semiconductor manufacturers that require advanced validation solutions for integrated circuits. With a market capitalization of $2.5 billion as of Aug. 31, 2026, Aehr has demonstrated significant investor interest in its specialized semiconductor test equipment offerings. However, the company remains in a pre-profitability phase with TTM net losses of $7.1 million against TTM revenues of $50 million.

Today’s Change

(-2.28%) $-1.84

Current Price

$78.97

What this transaction means for investors

Aehr Test Systems is at the right place at the right time for the artificial intelligence (AI) boom. According to Statista, the global AI market is expected to reach $617.6 billion in value in 2026 and $1.4 trillion by 2032. Demand is showing up in the company’s earnings, as it reported $18.8 million in net revenue for its fiscal four quarter of 2026, an increase from the $14.1 million reported in the year-ago period. Aehr also reported net income of $1.4 million for the quarter, a notable improvement over the $2.9 million net loss from the fourth quarter of 2025. Bookings also hit a record $60.7 million for the quarter, and as of May 29, Aehr Test Systems has a backlog of $80.6 million.

Just thus far in 2026, the stock price has climbed 291.4%. In comparison, the S&P 500 is up 12.1% in the same period. With that context in mind, and given the nearly 6,000 shares sold Rogers sold, this transaction appears to be largely a routine sale. This is likely a situation of the executive just taking some profits off the table, as he still owns 186,232 worth of stock. If more shares were sold, that might be more noteworthy, but for shareholders, this doesn’t appear to signal any concern about the company’s future.

Jack Delaney has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

[NY, OH, IN, PA] Northwest Bank $400 Checking Bonus


Update 8/31/26: There is a link with a $600 bonus, talks about an exclusive code but the mailer just used  REWARD600 so YMM if they filter by address or something. Hat tip to reader Dealgamer

Update 7/18/26: Bonus is now $400 (was $160) so significantly better than before. Hat tip to reader Bockrr

Update 5/1/23: Extended until June 30 2023.

Update 2/27/23: Also available in NY, OH, IN

Update 2/6/23: Deal has been extended until 4/30/2023.

Offer at a glance

The Offer

Direct link to offer

  • Northwest Bank is offering a $400 bonus when you open a new qualifying checking account and complete the following requirements:
    • Use promo code GET400
    • make direct deposits totaling $1,000 or more within a single statement cycle within the first 3 statement cycles from account opening

 

The Fine Print

  • To qualify for the $400 checking bonus, you must open a Northwest Affinity Checking, Affinity Plus Checking or Affinity Premier Checking account using the promo code GET400 by 12/31/2026 and make direct deposits totaling $1,000 or more within a single statement cycle within the first 3 statement cycles from account opening.
  • Account can be opened online or by bringing this email with the promo code to a financial center; promo code must be entered at account opening.
  • A qualifying Direct Deposit is an Automated Clearing House (ACH) credit, which may include payroll, pension or government payments (such as Social Security).
  • To receive the bonus, you must meet the deposit requirements and your checking account must be open at the time the bonus is paid out. After all qualifying activity requirement(s) have been fully completed and verified, the bonus will be deposited into your new account, typically within 30 days after the statement cycle in which you satisfy the requirement(s).
  • Offer is not available to existing Northwest checking account customers or to those with a Northwest checking account that has been closed within the last 12 months.
  • Northwest Bank reserves the right to limit each customer to one new account-related bonus per calendar year. Eligibility may be limited based on your account type and ownership role. Bonus is subject to IRS 1099-INT or, if you do not possess a Social Security number or Individual Taxpayer Identification number, the bonus will be reported on IRS form 1042-S.
  • Employees of Northwest Bank, its affiliates and subsidiaries are not eligible for this offer.
  • Cannot be combined with any other offer.
  • Offer subject to change, including cancellation, at any time without notice.
  • All bank account bonuses are treated as income/interest and as such you have to pay taxes on them

Avoiding Fees

Monthly Fees

Affinity Checking has no monthly fees to worry about.

Early Account Termination Fee

$25 fee according to the fee schedule, 180 days.

Our Verdict

Need to know if this is a hard or soft pull to open.

Useful posts regarding bank bonuses:

China’s AI-fueled IPO boom hits $54 billion this year, with chipmakers and Shein’s $1.7 billion IPO



Chinese markets are booming with new public stock offerings, energized by the craze for artificial intelligence and other advanced technology and a growing preference to list shares in Hong Kong and Shanghai.

In the latest big stock listing, shares in China-founded e-commerce and fast fashion giant Shein are due to debut Tuesday in Hong Kong in a blockbuster initial public offering raising $1.7 billion, in one of the city’s biggest new share sales this year.

In July, CXMT, China’s largest memory chipmaker, raised more than $8.6 billion in Shanghai in the second-largest IPO for its Nasdaq-style STAR market, mainland China’s second-largest IPO. Its shares jumped 466% on the first day of trading.

Unitree, one of China’s leading humanoid robot makers, also made its listing debut in Shanghai in August. Shares rose 460% on the first day of trading.

“The current IPO boom is powered by investor appetite for AI and robotics,” said Ruiying Zhao, a senior research analyst at S&P Global Market Intelligence. Trading in Shanghai’s stock market, for one, is heavily driven by retail investors.

AI driving Chinese IPO boom

CXMT’s IPO in Shanghai “placed China in a strategically significant position in tech manufacturing related to AI,” said Perris Lee, head of APAC equity capital markets for ION Analytics. “It’s also a testament to China’s tech self-sufficiency ambitions.”

Founded in China in 2016, the company’s revenue surged more than 700% year-on-year to 50.8 billion yuan (about $7.5 billion) in the first three months of 2026 on a spike in demand for computer chips needed for AI.

IPO proceeds in Hong Kong and Shanghai so far this year have already surpassed the funding raised last year, according to the financial data platform LSEG.

It says IPOs and secondary listing activities on the Hong Kong and Shanghai exchanges raised a total of over $54 billion from so far in 2026, surpassing last year’s total of more than $46 billion.

Combined Hong Kong and Shanghai proceeds so far this year accounted for roughly 21% globally, ranking them only behind only the Nasdaq’s roughly 55% global share, LSEG said. There, the mega $75 billion IPO by SpaceX in June made the U.S. exchange the world’s biggest IPO market this year.

Since China limits foreign purchases on mainland exchanges, many Chinese companies do parallel listings in Hong Kong to help raise international capital.

Fewer big Chinese companies listing overseas

Stricter U.S. and Chinese regulatory scrutiny in recent years of big Chinese companies listing in U.S. markets, especially those in strategically important sectors like advanced technologies, has led some Chinese companies to stick closer to home.

Listing overseas typically takes more time compared with doing IPOs in China, said Howie Farn, a capital markets partner at the law firm Freshfields.

In Hong Kong, recent public stock listings of Apple-supplier Luxshare Precision Industry, and Zhongji Innolight, which makes optical transceivers used in data centers, were among this year’s largest deals and were also a reflection of investor demand for advanced technologies.

More companies are looking to hold their IPOs in Hong Kong or Shanghai, like robotics firms AGIBOT and Deep Robotics.

Shein also explored the possibility of listings in the U.S. and London before opting for Hong Kong.

Investors are wary of a possible AI bubble in China, too

After massive oversubscriptions and huge gains in their share debuts, some companies have seen their market value shrink.

Chinese robot maker Unitree’s share price had fallen more than 40% as of Friday from its peak share price on the day of its trading debut.

“The critical question remains: is the AI sentiment enough?” said Zhao from S&P, as the similar question that raised worries among investors in the U.S. also now also applies to China. “For a durable market cycle, investors will demand sustainable revenue, visible profit margins, and realistic valuations.

The global AI frenzy also has also drawn attention away from companies like Shein. “The AI investment cycle is absorbing much of the risk appetite that would have otherwise flowed to a company like Shein,” said Jacob Cooke, CEO of WPIC Marketing + Technologies.

Shein’s IPO puts the company’s value at around $27 billion, a fraction of its peak valuation a few years ago, though that is partly due to U.S. and EU moves to restrict de minimus tax-exemptions for imports of small packages.

EQB gains uninsured mortgage share as credit pressures persist




EQB says stronger applications and closer broker relationships are helping it win business, even as impaired mortgages rise and enforcement timelines stretch as long as two years.

if war bad… why stocks go up?



The biggest stock market rally of the year had nothing to do with peace, the news, or anything else you were told. Wall Street lied to you.

On April 8th, the S&P ripped 2.5%, the Nasdaq jumped almost 3%, and the Dow had its best day in a year. Every financial outlet called it a “relief rally” on the back of the Iran ceasefire.

But the truth is, this was not a relief rally.

In this video, I’ll break down:
• Why hedge funds were selling at the fastest pace in 13 years
• How a short squeeze actually works
• The $86B of forced buying that compressed into five trading sessions
• How commodity trading advisors and options dealers turned a squeeze into a full-blown melt-up
• Why this exact pattern in the stock market keeps repeating

👉If one video wasn’t enough, I post everyday here:

All illustrations, visuals, and animations in this video are original and hand-drawn by a freelance artist.

Disclaimer: The information provided in this video and on this channel (collectively, the “Content”) is for informational, educational, and entertainment purposes only and does not constitute investment, financial, legal, or tax advice, nor a recommendation to buy, sell, or hold any security or investment strategy. Investing involves risk and you must do your own research. Nothing in the Content should be interpreted as creating a fiduciary relationship, financial advisory relationship, or client relationship of any kind. The host, the channel, and all affiliated entities expressly disclaim any and all liability for any direct or consequential loss or damage arising directly or indirectly from the use of, reliance upon, or interpretation of the Content. By viewing or interacting with the Content, you acknowledge and agree to these terms and release the host and all related parties from any and all claims related to your reliance on the information provided.

#economy #economics #wallstreet #stockmarket #investing #finance

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Michigan Seniors Can Now Get Into 21 Colleges Without A Traditional College Application


Michigan high school seniors can now get admitted to college without applying. The Michigan College Access Network (MCAN) opened its new MI College Match portal on Aug. 26, 2026, and 21 public and private colleges have signed on to send direct admission offers to students who fill out a free profile.

Students upload a transcript, answer a few questions about their interests and preferences, and wait for offers to arrive. There are no essays, no letters of recommendation, and no application fees.

The first deadline is September 21. Students who complete a profile by then will receive their first round of acceptance letters by Oct. 5, and will be entered for a chance at a $5,000 scholarship through the program. Students who sign up later still get offers, released on a monthly basis.

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Why It Matters

The college application process can be a massive challenge, and it’s the most impactful to first generation students who don’t have support to walk through the process.

MCAN Executive Director Ryan Fewins-Bliss put it this way in the launch announcement: “When colleges say, ‘We want you here, and you’re already admitted,’ it changes the entire conversation around postsecondary education.

Michigan’s colleges also have an enrollment problem to solve. The Common App logged a record 10.8 million applications last cycle, but 41% of member colleges still received fewer applications than the year before, with small private schools losing the most ground.

In-state tuition at Michigan’s public four-year universities averages about $14,500, and 59% of Michigan graduates leave with debt. Participating colleges can attach scholarship offers to their admission letters, so a student may learn what a school will actually cost before deciding whether to engage with it at all.

Participating Colleges

As of Aug. 28, 2026, the MI College Match participating colleges page lists 21 schools. It’s important to note that the state’s flagship (The University of Michigan’s Ann Arbor campus) is not among them, and each school sets its own admission criteria. Kalamazoo College said the program changes how students find the school, not who gets in.

  • Albion College
  • Alma College
  • Aquinas College
  • Baker College
  • Bay College
  • Calvin University
  • Cleary University
  • Davenport University
  • Great Lakes Christian College
  • Kalamazoo College
  • Lake Michigan College
  • Monroe County Community College
  • Montcalm Community College
  • Oakland University
  • Saginaw Chippewa Tribal College
  • Schoolcraft College
  • Spring Arbor University
  • University of Detroit Mercy
  • University of Michigan-Dearborn
  • University of Michigan-Flint
  • The University of Olivet

How This Connects

Direct admission is growing nationwide. California’s SB 640 takes the CSU system’s direct admission pilot from 43 school districts to all 937 by fall 2027, covering 16 of 23 campuses for students with a 2.5 GPA and the A-G course sequence.

Michigan’s model is different: it’s run by a nonprofit rather than the legislature, includes private colleges, and uses the same EAB matching software behind the Alabama Direct Admission Initiative, which sent more than 141,000 offers to over 18,000 students in its first year.

What’s Next

Watch the participating college count. The list already grew from 20 to 21 in the last two days, and MCAN is pushing the program through its 355 K-12 partner sites.

The bigger signal is whether Michigan’s remaining public universities, especially the larger regional campuses, join the program. Seniors who want to apply should build their application timeline around that date.

Editor: Colin Graves

The post Michigan Seniors Can Now Get Into 21 Colleges Without A Traditional College Application appeared first on The College Investor.

Trump threatens to blow Kharg Island ‘to smithereens’ as U.S. and Iran trade fresh strikes


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ONE BIG THING

Temu spent up to $962 million on ads that helped finance an army of fake creators on Meta, research claims

The top creator in Temu’s European partnership ad network on Facebook and Instagram is “YaLilly.” Her posts have been boosted by Temu and were seen more than 1 billion times across both platforms in a 16-month period ending in April 2026, according to Online Risk Labs, a cyber research organization. The only problem is that YaLilly doesn’t exist. In fact, of the top 100 creators boosted by Temu’s partnership ads, 73 are likely fakes, the research suggests.

And yet Temu spent as much as $962 million on ads like these in the period, in the U.K. and 27 E.U. countries, according to ORL.

It is not clear whether Temu is doing this deliberately or is being fooled by scammers into spending money on influencers who don’t exist. But the likely fake accounts could set up a legal quagmire for Temu, as European law bars the use of misleading advertising formats.

MORE FROM FORTUNE

Apple’s John Ternus era: Can a low-key engineer win the AI race? – Sebastian Herrera

Why Meta is Paying Billions to Settle This Case | Fortune Daily

The Strait of Hormuz crisis threatened Asia’s oil and gas lifeline. Here’s how the region is rewriting its energy playbook – Katie Silver

Why the head of Taiwan’s stock exchange wants you to look past TSMC—and embrace the ‘technology island’ – Nicholas Gordon

‘We’re facing a double whammy’: America’s hottest tinned fish snack is shrinking by nearly half thanks to climate change and war in Iran – Catherina Gioino

This Gen Xer spent 28 years in a cubicle and never made more than $70,000. At 59, she made $500,000 in the creator economy – Tatiana Sataua

31-year-old millionaire has zero sympathy for unemployed Gen Z’s ‘excuses’—he says ‘it is scarily easy’ to build a business and get rich right now – Orianna Rosa Royle

IRAN

Iran and the U.S. trade strikes

The price of Brent crude oil moved back above $90 today as hostilities between the U.S. and Iran intensified over the last 24 hours. On Sunday, the U.S. struck rocket launchers on Iran’s Larak Island, which Centcom said were being prepared to launch sea mines. Iran responded by bombing American military bases in Jordan. The attack was the first since late July.

The Islamic Revolutionary Guard Corps also reported that a tanker was disabled after it caught fire when it struck two sea mines in the Strait of Hormuz. The tanker had not followed Iran’s rules for transiting the Strait, Iranian media reported.

President Trump posted an AI-generated video on Truth Social showing “Kharg Island being blown to smithereens!!!” Kharg is the terminal through which Iran exports 90% of its oil. 

Oil market shrugs at Venezuela deal

Oil’s rise came despite a post from Trump saying that the U.S. had struck a deal with Venezuela that “secured majority U.S. control of more than 65 BILLION BARRELS of proven Oil Reserves in Venezuela, at no cost to the American Taxpayer. This Historic Transaction MORE THAN DOUBLES American Oil Reserves, greatly increases our Oil Supply, and will substantially lower Gas Prices for all Americans.”

The agreement provides the U.S. government with a 55% stake in a joint venture with an unnamed private operator in Venezuela, a U.S. official told CBS News. Experts expressed some skepticism, saying that the deal would likely take months or years before new supplies come online.

THE MARKETS

Stocks mixed as traders eye hostilities in the Gulf

  • S&P 500 futures were flat this morning. The index sank 0.25% on Friday. 
  • In Europe, the Stoxx 600 was down 0.11% in early trading. The U.K.’s markets were closed for the August bank holiday.
  • Asia: South Korea’s KOSPI was up 0.46%. Japan’s Nikkei 225 was up 0.14%. India’s Nifty 50 was down 0.4%. China’s CSI 300 was up 0.35%. 
  • Brent crude was $91 per barrel this morning, up from a low of $87 in the previous 24 hours.
  • Bitcoin was at $78,669.

Chart via TradingEconomics.com

The more they go up, the cheaper they get

The S&P 500 is up 12.65% year to date, and the Q2 earnings season was “exceptional,” according to J.P. Morgan Private Bank’s Kriti Gupta and Nick Roberts. Counterintuitively, stocks are technically cheaper now than they were a year ago. That’s because that near-13% increase has underpriced the performance of the companies within the index. “Revenue across the S&P 500 has grown 16% year-over-year. Earnings growth is approaching a 52% rise,” they said in an email. “Despite the strength of the underlying fundamentals, investors have yet to fully reward it in the stock market. … The result is an unusual backdrop: Earnings are accelerating while valuations move in the opposite direction.”

At Bank of America, it’s a hot stock summer as Trump’s ratings decline

President Trump’s declining approval ratings will force him to find an end to the Iran war, according to Michael Hartnett and his colleagues at Bank of America. “Trump economic (35%) and inflation approval (28%) slumping again so [the] consensus [that stocks will] grind higher continues as [a] quick end to US-Iran conflict [is the] easiest way back to approval,” they said in a recent note.

Meanwhile, the summer vibe on Wall Street is “no macro landing, no Fed hike, no AI capex cut, no DEM sweep midterms = no fear” and “EPS better than Champagne,” they said. That is setting up “contrarian” traders to sell when they see the next market peak.

CHART OF THE DAY

AI buildout is nowhere near dot-com bubble excess

AI infrastructure buildout—as measured via the proxy of non-residential fixed investment—is currently 17.7% of GDP, according to Liz Everett Krisberg and David Tinsley of Bank of America. That’s “slightly above its long-term average but still within the range of earlier peaks,” they said in an email to Fortune.

NUMBER OF THE DAY: 

$566 billion

The potential cumulative value of the lunar economy through 2050, according to a forecast by Deloitte. That’s the value of investment and revenues attached to lunar transport, scientific advances, new energy sources, national security “high ground,” helium-3 extraction, rocket propellant, orbital compute, in-space manufacturing, and innovative commercial applications.

THE FRONT PAGES TODAY

Andrew Bailey warns G20 of danger AI poses to financial system – FT

British Museum hosted Palantir founder Peter Thiel in private viewing of Bayeux tapestry – The Guardian

Russia preparing ‘massive strikes’ on Ukraine’s energy sites after deadliest attack of the year – CNBC

Inside the socialists’ civil war over AOC and 2028 – Axios

The Sudden Unraveling of Wall Street’s Momentum Trade – WSJ

Crypto.com-Linked Lending Platform Hit by $74 Million Exploit – Bloomberg

What It Took to Dismantle the Most Powerful Company in the World – NYT

OpenAI to cut off AI models for SpaceX-owned Cursor, escalating feud with Musk – NY Post

ONE MORE THING

Singles are using LinkedIn to screen their dates

LinkedIn’s rules are very clear: it is not a dating site. “Do not use LinkedIn to pursue romantic connections, ask for romantic dates, or provide sexual commentary on someone’s appearance or perceived attractiveness,” its policy states.

But a June survey by Zety of more than 1,000 U.S. employees found that one in four believe it’s “fair game” for romantic advances. The survey also found that 22% had reached out or responded to someone on LinkedIn with romantic intent, while 12% had formed a romantic relationship that originated on LinkedIn, Fortune’s Sarah Glodek reports.

And half of survey respondents believe that information on the platform is more reliable than the jobs and college attendance people claim on dating apps such as Hinge.

ONE MORE THING

Mizuho cuts PG&E stock rating on wildfire reform failure




Mizuho cuts PG&E stock rating on wildfire reform failure

inKind Is Expanding Beyond Restaurants With Spas and Trampoline Parks


inKind Is Expanding Beyond Restaurants

inKind might be branching out beyond dinner and drinks.

I recently spotted a non-restaurant option appearing in the inKind app, Wthn. This is an acupuncture and Traditional Chinese Medicine wellness business in New York City. They have several locations currently showing in the inKind app with up to 20% back when paying with a credit card. Interestingly, the listing specifically tells customers to book an appointment through Wthn’s website and then pay through inKind after the session.

I searched the app and also noticed that AustinDeep is a similar business in Austin with two locations which are both available in the inKind app, offering 20% cash back.

I shared this in our Facebook Group and another group member said a trampoline park they regularly visit recently appeared on inKind as well.

If you don’t have an inKind account yet, you can sign up now to save $25 on your first bill of $50 or more that you pay through the app. Recently they also introduced a new feature called Recommendation Rewards, which gives select users a way to earn inKind Cash by sharing restaurant offers.

Guru’s Wrap-up

I’ve always thought of inKind as a way to save money at restaurants and bars, so seeing acupuncture, spa services and trampoline parks pop up is definitely interesting.

If inKind is intentionally expanding into wellness, entertainment and other experiences, it could make inKind Cash and those frequent bonus offers much more useful.

For now, it’s worth opening the app and taking another look around your area. You might find something besides dinner this time. And don’t forget to let us know if you find any of these non-restaurant merchants!