📈 Markets & Finance mixed · 1–3 years
A what‑if from the future

What if US weakens, dilutes, or delays SEC climate-disclosure rule?

Legal and political pressure guts the SEC climate-disclosure rule, lowering compliance costs and modestly favoring fossil-heavy issuers over low-carbon peers.

17%
our model probability
over 1–3 years
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 17% · 90% range 0–34% · 21 analogues · measured class deflation 69% in 3 yr · 3% held back for the unknown
how we built this number — every step
Measured class rate — deflation ≈0.3895/yr → 69% in 3 yr69%
Analyst prior · editorial share 19% of the class13%
Pooled · weight 78%17%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)17%
Published17%

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 mixed shock. Legal and political pressure guts the SEC climate-disclosure rule, lowering compliance costs and modestly favoring fossil-heavy issuers over low-carbon peers. The trigger decomposes into signed root‑shocks — Clean-energy abundance ▼ · Financial conditions ▼ · Oil demand ▲ · 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
1Energy sector XLEon Hyperliquid 📈 chartEquity▲ +0.8%
hist -0.12–+1.42% · other way -3.3% (n=5)
2WTI crude CLon Hyperliquid 📈 chartCommodity▲ +0.7%
hist -0.78–+2.31% · other way -3.73% (n=5)
3ExxonMobil XOM 📈 chartEquity▲ +0.7%
hist +0.12–+0.44% · other way +1.08% (n=12)
4Brent crude BRENTon Hyperliquid 📈 chartCommodity▲ +0.7%
hist -0.11–+1.11% · other way -2.76% (n=5)
5United Airlines UAL 📈 chartEquity▼ -0.4%
hist -5.74–+11.69% · other way +6.88% (n=5)
6Chevron CVX 📈 chartEquity▲ +0.3%
hist -0.33–+0.4% · other way +0.38% (n=12)
7Delta DAL 📈 chartEquity▼ -0.4%
hist -1.99–+7.59% · other way +2.53% (n=5)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Short
For a common-man portfolio: Mixed for a typical portfolio — the move is more about rotation than direction. Favour the winners over the losers below rather than net exposure.
Also moves (not yet on Hyperliquid): ExxonMobil +0.7% · United Airlines -0.4% · Chevron +0.3% · Delta -0.4%

Historical precedent — what analogous events actually did

Across 21 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.

Henry Hub natural gas hits a 25-year low amid record US production 2024-11 Waha hub natural gas prices crash to record negative on Permian glut 2024-08 WTI crude futures settle negative as demand collapses 2020-04 Oil collapses from $147 to the $30s as the GFC craters demand 2008-12 Platinum hits an 11-year high on Chinese jewelry demand and deficit 2025-06 Palladium jumps after US pushes G7 sanctions on Russian metal 2024-10 Niger coup d'etat 2023-07 PJM grid emergency during Winter Storm Elliott 2022-12 NIF achieves fusion ignition 2022-12 European TTF gas hits all-time record high 2022-08 Texas grid failure during Winter Storm Uri 2021-02 Norilsk Nickel Arctic diesel spill 2020-05 Silver hits 30-year high as JPMorgan and HSBC face manipulation suits 2010-10 Henry Hub natural gas spot price peaks during 2008 commodity boom 2008-07 Platinum hits all-time record near $2,290 on South African power crisis 2008-03 South Africa Eskom power emergency spikes platinum/PGMs 2008-01 Amaranth Advisors natural-gas blowup 2006-09 Northeast blackout cascading grid failure hits ~55 million 2003-08 Soviet August coup attempt against Gorbachev 1991-08 Gulf War air campaign begins 1991-01 Volcker Saturday Night Special 1979-10
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
DAL DALLONG+6.8% · 5d +1.7%76%16 0.50⚠ differs
Volatility VIXSHORT-5.5% · 5d -4.5%70%20 0.29·
UAL UALLONG+11.6% · 5d +0.8%60%17 0.19⚠ differs
XLE XLELONG+0.9% · 5d +0.0%57%18 0.14✓ matches cascade
Gold XAULONG+0.4% · 5d -0.2% ↺ fades57%18 0.14·
US dollar DXYLONG+0.1% · 5d -0.4% ↺ fades56%21 0.11·
Bitcoin BTCLONG+8.3% · 5d -2.5% ↺ fades56%11 0.09·
XOM XOMSHORT-0.1% · 5d -0.3%52%21 0.04⚠ differs
CL CLLONG+1.9% · 5d -1.2% ↺ fades38%18 0.00✓ matches cascade
BRENT BRENTLONG+0.6% · 5d -1.7% ↺ fades47%16 0.00✓ matches cascade
CVX CVXSHORT-0.5% · 5d -0.3%48%21 0.00⚠ differs
High-yield credit HYGLONG+1.0% · 5d -0.3% ↺ fades39%16 0.00·
10y yield DGS10LONG+10bp · 5d +4bp46%21 0.00·

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.