🛢 Energy & Commodities risk-off · 1–3 years
A what‑if from the future

What if an abrupt election-driven climate policy reversal strands green-capex mid-cycle?

An abrupt climate-policy reversal after an election strands green-capex investments mid-cycle, impairing renewables and clean-tech credit committed under prior incentives.

11%
our model probability
over 1–3 years
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 11% · 90% range 2–20% · 40 analogues · measured class tech_ai_bear 92% in 3 yr · 3% held back for the unknown
how we built this number — every step
Measured class rate — tech_ai_bear ≈0.8595/yr → 92% in 3 yr92%
Analyst prior · editorial share 11% of the class10%
Pooled · weight 87%11%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)11%
Published11%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 1–3 years horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-off shock. An abrupt climate-policy reversal after an election strands green-capex investments mid-cycle, impairing renewables and clean-tech credit committed under prior incentives. The trigger decomposes into signed root‑shocks — AI capex ▼ · Climate/crop supply ▲ · Credit spreads ▲ · Risk appetite ▼ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Nvidia NVDAon Hyperliquid 📈 chartEquity▼ -0.9%
hist -0.61–-0.18% · other way +4.08% (n=11)
2MicroStrategy MSTRon Hyperliquid 📈 chartEquity▼ -0.9%
hist -2.13–+0.34% · other way +21.7% (n=11)
3Solana SOLon Hyperliquid 📈 chartCrypto▼ -0.7%
hist -12.1–+1.96% · other way -15.12% (n=8)
4Semiconductors SMHon Hyperliquid 📈 chartEquity▼ -0.7%
hist -0.59–+0.46% · other way +1.69% (n=11)
5Broadcom AVGOon Hyperliquid 📈 chartEquity▼ -0.7%
hist -1.01–+1.17% · other way +2.92% (n=11)
6Micron MUon Hyperliquid 📈 chartEquity▼ -0.7%
hist -0.59–-0.15% · other way -3.47% (n=11)
7Hyperliquid (HYPE) HYPEon HyperliquidCrypto▼ -0.6%
model prior · unmeasured
8Volatility (VIX) VIXon Hyperliquid 📈 chartVol▲ +0.6%
hist -2.83–+7.74% · other way -9.07% (n=11)
9Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▼ -0.6%
hist -0.47–+0.13% · other way +0.2% (n=11)
10Wheat WHEATon Hyperliquid 📈 chartCommodity▲ +0.6%
hist -1.3–+3.39% · other way -1.84% (n=11)
11Ether ETHon Hyperliquid 📈 chartCrypto▼ -0.6%
hist -6.24–+1.73% · other way +2.17% (n=8)
12High-yield credit HYG 📈 chartRate▼ -0.6%
hist -0.44–-0.16% · other way -0.56% (n=11)
13Bitcoin BTCon Hyperliquid 📈 chartCrypto▼ -0.5%
hist -4.68–+0.74% · other way +6.23% (n=9)
14Corn CORNon Hyperliquid 📈 chartCommodity▲ +0.6%
hist -0.14–+0.49% · other way -1.42% (n=11)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Cash / hedgeRaise cash and hold the long hedges above; this scenario is net risk-off.
For a common-man portfolio: A typical stock-heavy portfolio is at risk. Consider trimming equities, raising cash, and a small cash hedge.
Also moves (not yet on Hyperliquid): High-yield credit -0.6% · Financials -0.4% · Tech sector -0.4% · JPMorgan -0.3%

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

Chernobyl disaster 1986-04 Gold tops $4,000 and silver spikes past $50 in historic squeeze 2025-10 Gold tops $3,000 for the first time amid tariff and rate-cut fears 2025-03 TSMC slumps as DeepSeek roils AI-chip demand assumptions 2025-02 Micron's weak FQ2 guidance sparks a sharp December selloff 2024-12 ASML bookings-miss crash 2024-10 Gold tops $2,500 for the first time on Fed rate-cut bets 2024-08 Megacap AI-capex doubt selloff 2024-07 Trump 'Taiwan should pay for defense' chip selloff 2024-07 First Republic Bank seized and sold to JPMorgan 2023-05 Regional-bank panic deepens after Signature seizure 2023-03 Netflix subscriber-loss crash 2022-04 Meta 2022-02 Kaisa Group offshore default 2021-12 Didi removed from China app stores after NYSE IPO 2021-07 Gold closes above $2,000/oz for the first time 2020-08 IPBES warns ~1 million species face extinction 2019-05 Nvidia crypto-glut guidance crash 2018-11 North Korea sixth nuclear test 2017-09 North Korea 'fire and fury' nuclear scare 2017-08 HYG record outflows in 2014 high-yield rout 2014-10 Mt. Gox collapse 2014-02 Mt. Gox halts withdrawals 2014-02 Gold futures velocity-logic flash crash 2014-01 Cyprus deposit bail-in 2013-03 Spain requests EUR100bn bank bailout 2012-06 Bankia nationalised in Spain's banking crisis 2012-05 Gold all-time peak of $1,921/oz 2011-09 Portugal requests EU-IMF bailout 2011-04 Egyptian revolution / Mubarak uprising 2011-01 Greece first EU/IMF bailout 2010-05 Greece requests EU/IMF bailout 2010-04 Anglo Irish Bank nationalisation 2009-01 Fannie Mae and Freddie Mac conservatorship 2008-09 IndyMac Bank seized by the Office of Thrift Supervision 2008-07 2008 global rice / food price crisis peak 2008-04 2008 global rice crisis: Thai benchmark tops $1,000/ton 2008-04 Northern Rock bank run 2007-09 American Home Mortgage bankruptcy 2007-08 Bear Stearns freezes redemptions on subprime hedge funds 2007-06
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
SOL SOLSHORT-9.9% · 5d -6.2%87%15 0.52✓ matches cascade
Bitcoin BTCSHORT-3.8% · 5d -1.2%70%20 0.35✓ matches cascade
ETH ETHSHORT-5.4% · 5d -3.5%71%17 0.33✓ matches cascade
COIN COINSHORT-3.1% · 5d +1.7% ↺ fades64%14 0.23✓ matches cascade
JPM JPMSHORT-0.2% · 5d -0.8%58%40 0.13✓ matches cascade
SMH SMHLONG+0.8% · 5d -1.0% ↺ fades56%39 0.11⚠ differs
Volatility VIXLONG+7.0% · 5d +2.7%56%39 0.11✓ matches cascade
MSTR MSTRSHORT-1.5% · 5d -2.1%56%39 0.10✓ matches cascade
TSM TSMSHORT-0.5% · 5d -1.9%56%39 0.10✓ matches cascade
US dollar DXYLONG+0.7% · 5d +0.2%56%40 0.10·
Gold XAULONG+0.1% · 5d -0.2% ↺ fades54%39 0.07·
ASML ASMLSHORT-1.6% · 5d -3.4%54%39 0.06✓ matches cascade
QCOM QCOMSHORT-1.7% · 5d -2.5%54%39 0.05✓ matches cascade
AVGO AVGOLONG+1.6% · 5d -1.8% ↺ fades52%31 0.03⚠ differs

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.