Sunday links: brains vs. wisdom

Quote of the Day "Since investing and managing money is a decision overlay that sits on top of research and analysis functions, the manager’s efficacy is rate-limited not by brains but by wisdom. We should be a bit more obsessed with where wisdom comes from than continue to fall for dazzling minds." (Kris Abdelmessih) Markets - Bank stocks are rallying. (trendlabs.com) - How Japan's stock market has changed over time. (apollo.com) - In this market, big stocks are making really big moves. (awealthofcommonsense.com) Strategy - On the limits of financial modeling. (tker.co) - The hype machine has never been more impactful in markets. (investing101.substack.com) - Leverage plus concentration is a deadly mix. (moontower.substack.com) AI - DeepSeek is putting downward pressure on model pricing. (axios.com) - Demand for compute is only moving in one direction. (downtownjoshbrown.com) - For better or worse, Larry Ellison has gone all-in on AI. (nytimes.com) - Checking in on the OpenAI-Anthropic rivalry. (wsj.com) - Why the frontier labs may not make their best models publicly available. (bigtechnology.com) Taxes - Why corporate tax revenues keep trending lower. (bloomberg.com) - The creator of the 401(k) plan admits it doesn't work well for lower wage workers. (wealthmanagement.com) - How billionaires avoid paying taxes. (crr.bc.edu) Law and order - The U.S. keeps blowing up boats, but cocaine flows freely into the U.S. (washingtonpost.com) - Texas' prison system has an air conditioning problem. (slate.com) - Why the DOJ dropped the Reflecting Pool vandalism case. (cnn.com) Immigration - 300,000 Haitians in the U.S. are losing their legal status. (npr.org) - Why is this agency sending tips to ICE? (reuters.com) Stay in touch - Don't miss a thing! Sign up for our daily e-mail newsletter. (abnormalreturns.com) - Work in wealth management? Sign up for our exclusive Talking Wealth newsletter. (talkingwealthpod.com) Trump - An inside look at how the Trump fundraising machine works. (wsj.com) - Capital One ($COF) closed Trump Organization's accounts in 2021 after an anti-money laundering probe. (reuters.com) Policy - Companies are looking to do deals now that they would never had considered before. (nytimes.com) - America politicians are older, but aren't dying in office at a more rapid rate. (theargumentmag.com) - AI companies are spending big this election cycle. (politico.com) Economy - Kevin Warsh is not inspiring confidence. (danieldrezner.substack.com) - The market is worried the Fed is going to make a policy mistake. (apollo.com) - The economic schedule for the coming week. (economicweekly.substack.com) Earlier on Abnormal Returns - Top clicks last week on Abnormal Returns. (abnormalreturns.com) - What you missed in our Saturday linkfest. (abnormalreturns.com) Mixed media - Miles Bryan talks with journalist Ryan Broderick about how 'Google zero' could break the Internet. (podcasts.apple.com) - Why Google quickly backtracked on this Google Earth feature. (npr.org) - Charlie Warzel talks to Claire Stapleton, author of "Don't Be Evil: Bad Bosses Fake Promises and My Escape from Big Tech – A Biting Memoir of Twelve Years Inside Google." (theatlantic.com)