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Colonoscopy: The Most Used Screening Test For Colon Cancer, Here Are The Benefits And Risks

Colonoscopy: The Most Used Screening Test For Colon Cancer, Here Are The Benefits And Risks

Authored by Mercura Wang via The Epoch Times,

Medically reviewed by Jimmy Almond, M.D.

Colonoscopy is the most widely used screening test for colon cancer, which is the second leading cause of cancer-related death in the United States.

It is considered the gold standard and is more accurate than two other common screening methods – stool tests and sigmoidoscopy – because it allows doctors to see the entire colon and remove any potentially problematic polyps during the same procedure.

However, there is ongoing debate about who should undergo a colonoscopy and when. Not everyone will get colon cancer, and the procedure could lead to overdiagnosis as well as rare but serious side effects.

Illustration by The Epoch Times, Shutterstock

What Does A Colonoscopy Do?

The colon is the main part of the large intestine and is about 5 feet long in adults. The rectum stores stool until it passes through the anus. Together, they make up most of the large intestine, absorbing nutrients and converting liquid waste into solid stool.

During a colonoscopy, a gastroenterologist inserts a thin, flexible tube with a lighted camera (colonoscope) through the anus to examine the lining of the rectum and colon. The tube introduces air to gently inflate the colon so the doctor can see more clearly. If polyps or other abnormalities are found, they can often be removed immediately using tools such as forceps, snares, or electrocautery devices passed through the scope.

The procedure takes about 20 to 45 minutes.

Most colonoscopies in the United States are performed under sedation or anesthesia, so patients may sleep through the entire procedure. Those who choose lighter sedation – or none at all – may feel some discomfort.

The primary purpose of colonoscopy is to prevent or detect colon cancer.

Beyond cancer screening, colonoscopy can be used to both detect and treat a range of problems in the colon and rectum, including polyps, ulcerations, and diverticula (small pouches that can form in the colon wall).

It can also help determine the underlying causes of symptoms such as chronic diarrhea, rectal bleeding, and changes in bowel habits. During the procedure, doctors can identify inflamed tissue, sources of bleeding, and other abnormalities in the colon.

Who Should Have A Colonoscopy, And When?

According to the current guidelines, colonoscopy is recommended for most adults starting at age 45, and repeated every 10 years if results are normal. More frequent screenings may be recommended depending on any abnormal findings.

People at higher risk are suggested to begin screening earlier – at age 40 or 10 years younger than the age at which a first-degree relative was diagnosed with colorectal cancer, whichever comes first.

In older adults, colonoscopy carries a greater risk of complications. After age 75, the decision to continue screening should be made in consultation with a doctor based on potential benefits, risks, and patient preferences.

Beyond the main guidelines, screening recommendations continue to evolve. For instance, some guidelines recommend initiating screening at age 50. In addition, emerging evidence suggests that follow-up intervals after a normal colonoscopy may be safely extended in some people. A 2024 study found that people without a family history of colorectal cancer and with an initial normal colonoscopy may be able to wait up to 15 years before repeat screening.

Some experts suggest weighing the benefits and risks. For a person with a family history of colon cancer, it may be beneficial to keep a close watch, while for someone at low risk, it may be a different story.

These differences highlight continuing uncertainty and the need for individualized clinical judgment as evidence continues to evolve.

In addition, colonoscopy may be avoided or require careful consideration in people who:

  • Have inadequate bowel preparation
  • Have a bowel perforation, severe inflammation, or infection
  • Have unstable health or significant medical conditions (advanced heart, lung, kidney, or liver disease)
  • Have a life expectancy of less than 10 years, or risks that outweigh the potential benefits
  • Have blood-clotting disorders

How Effective Is Colonoscopy?

“Colonoscopy has a sensitivity of 88 percent to 98 percent for identifying advanced, precancerous polyps,” Dr. Steven Lee-Kong, chief of colorectal surgery at Hackensack University Medical Center, told The Epoch Times.

The miss rate may be influenced by factors such as inadequate bowel preparation, the type of polyps being examined, and the skill of the endoscopist, noted Dr. Rucha Shah, a gastroenterologist. Small or flat polyps are harder to detect, and in some cases, the entire colon may not be fully visualized.

Colonoscopy allows doctors to remove precancerous polyps during the same procedure – something other screening tests cannot do. Removing these polyps has been shown to significantly reduce the risk of death from colorectal cancer, with one study reporting a 53 percent reduction in mortality associated with polyp removal.

However, recent studies have offered additional perspectives.

For example, colonoscopy is used much more frequently for screening in the United States than in Canada, where only about 15 percent of procedures are performed for screening, and most are diagnostic, yet colorectal cancer survival rates remain similar in both countries.

A major 2022 Nordic-European Initiative on Colorectal Cancer study found a modest reduction in colorectal cancer mortality with colonoscopy screening, no significant difference in overall death rates, and a low rate of serious complications.

What Are The Risks And Complications Of Colonoscopy?

Colonoscopy is generally safe, but like all medical procedures, it carries some potential risks and complications. Most are minor and resolve quickly.

  • Gas, Bloating, Cramping, or Stomach Discomfort: These symptoms are mainly caused by air introduced during the exam and temporary changes in gut bacteria from the bowel preparation. These typically resolve within a day or two, although some people may notice symptoms lasting a few weeks.
  • Nausea, Vomiting, Dizziness, or Dehydration: These symptoms may occur as a result of the osmotic laxative used for bowel preparation.
  • Mild Redness or Tenderness at the IV Insertion Site: This may occur in the arm where the intravenous line was placed.
  • Medication Side Effects: Sedation or anesthesia may cause temporary changes in blood pressure, rash, or breathing difficulties.
  • Electrolyte Imbalances or Kidney Problems: In some cases, the bowel preparation may lead to low levels of potassium, sodium, or magnesium, or affect kidney function.

Less Common And More Serious Side Effects

Certain complications are directly related to the colonoscopy procedure itself.

  • Bleeding: Bleeding may occur after a biopsy or polyp removal, usually during or shortly after the procedure, although it can occasionally be delayed for up to one week. It is typically minor, with significant bleeding being rare and occurring in less than 1 percent of cases. The risk increases based on the size of the removed polyp.
  • Perforation: Perforation during colonoscopy is very rare (less than one in 1,000 procedures) and involves a tear in the intestinal wall that can allow bowel contents to leak into the abdomen, potentially causing infection. It may occur due to mechanical injury from the scope or instruments, overinflation of the bowel, or thermal damage during polyp removal. Symptoms typically include pain during or shortly after the procedure, although small perforations may appear later. Untreated cases can lead to fever and abdominal infection.
  • Postpolypectomy Syndrome: This occurs when heat from electrocoagulation (the removal of tissue with an electrical current) injures the colon wall during polyp removal. It is rare, occurring in about three to four per 10,000 colonoscopies. Symptoms may include fever, localized abdominal pain, and an increased white blood cell count.
  • Splenic Injury: This rare but potentially life-threatening complication can occur when the spleen is directly injured or torn by traction during the procedure. It typically causes pain in the upper left abdomen that may radiate to the left shoulder and can progress to low blood pressure and shock.
  • Infections: In rare cases, an infection may develop after a colonoscopy and require antibiotic treatment.

Cardiopulmonary events are related to the anesthesia or sedation used during colonoscopy. They can range from temporary issues such as low blood pressure, low oxygen levels, and fainting to more serious complications, including respiratory distress, irregular heartbeat, and acute coronary events.

Contact your doctor if you:

  • Have abdominal pain that does not improve after passing gas
  • Develop new or worsening abdominal pain
  • Feel nauseated or cannot keep fluids down
  • Notice blood in your stool
  • Develop a fever (100.4 F or higher)
  • Are unable to pass stool or gas

How Do I Prepare For A Colonoscopy?

“A successful colonoscopy hinges on a thoroughly cleansed colon, which is achieved through a standard preparation protocol involving dietary changes and a bowel-cleansing agent,” Lee-Kong said.

  • Special Diet: This bowel-cleaning process usually starts on the day before a colonoscopy. Lee-Kong recommends a low-fiber or clear liquid diet, while avoiding solid foods and red-colored liquids. Avoid fruit punch, cranberry juice, red wine, and red sports drinks. Medical professionals often advise avoiding red, orange, or purple foods and drinks, as the coloring can resemble blood or inflammation in the colon. Clear liquids commonly recommended the day before the procedure include black coffee, plain tea, fat-free broth, gelatin, clear sports drinks without added color, strained fruit juices, and water.
  • Bowel Preparation: This typically involves laxative solutions or tablets designed to fully cleanse the colon before the procedure. Patients are prescribed a laxative solution, often a polyethylene glycol (PEG) or sodium phosphate formula, to induce frequent bowel movements and clear the colon. The ‘split-dose’ method, where the solution is taken in two parts – the evening before and the morning of the procedure – is commonly recommended for a more effective cleanse, according to Lee-Kong. Other common options include sulfate-based solutions and magnesium citrate products. Some regimens combine laxatives like bisacodyl with PEG solutions or use over-the-counter mixes such as MiraLAX with clear sports drinks.
  • Temporary Discontinuation of Medications: Before a colonoscopy, you may be asked to temporarily stop certain medications, such as aspirin, ibuprofen, naproxen, or other blood thinners, as they can increase the risk of bleeding. You will also usually need to stop taking iron supplements a few days before the test because they can darken stool and make it harder to see inside the colon.
  • General Preparations: On the day of the colonoscopy, you may be allowed to wear dentures, but you may be asked to remove them before the procedure because they can shift during sedation and potentially obstruct the airway. Avoid bringing jewelry or valuables to prevent theft, and don’t wear nail polish as it may interfere with oxygen sensor readings.
  • Transportation Plan: Since sedation is used during a colonoscopy, you will need someone to drive you home afterward, as you may feel drowsy or dizzy.

According to Lee-Kong and Shah, some groups may need additional preparation.

  • Pregnant Women: Colonoscopy is generally avoided during pregnancy. If it has to be done, oral laxatives are generally avoided, and tap water enemas may be used instead. Sodium phosphate preparations are particularly avoided due to potential risks for both mother and fetus.
  • Older Adults (Especially Older Than 75): PEG-based preparations are preferred to reduce the risk of electrolyte imbalances.
  • People With Kidney or Heart Disease: Sodium phosphate solutions are generally avoided.
  • People With Chronic Constipation: A more intensive, multiday preparation may be needed.
  • People With Diabetes: Medication adjustments are required to prevent low blood sugar during preparation.

What Can I Expect After A Colonoscopy?

Recovery is usually quick, with most people returning to normal within about one day. After the procedure, you will spend 30 to 50 minutes recovering at the clinic while the sedative wears off.

Once home, you should rest for the remainder of the day and avoid driving, operating machinery, and drinking alcohol.

You can typically return to your regular diet, but bland, low-fiber foods may be better tolerated during the first 24 hours, since you may experience mild bloating or cramping from the air used during the procedure.

If polyps were removed, you might be advised to follow a more specific diet and avoid certain medications such as blood thinners.

What Are The Alternatives To Colonoscopy?

Colonoscopy isn’t the only option – and it may not be your preference. According to a 2025 study, around 75 percent of adults eligible for screening prefer a noncolonoscopy option – such as stool-based or blood-based tests – as their first choice.

Several alternatives to colonoscopy are available, and they are often preferred due to lower invasiveness, patient preference, or medical contraindications, Lee-Kong said. Noninvasive stool-based tests are a primary alternative and include the following:

  • Fecal Immunochemical Test (FIT): This home-based annual test detects human blood in stool samples and does not require dietary restrictions. If blood is detected, a repeat test or follow-up colonoscopy may be needed. It has a reported 97 percent accuracy for detecting colon cancer.
  • Multitargeted Stool DNA Test Plus FIT: This test combines FIT with stool DNA analysis using a single sample to check for both blood and abnormal DNA every three years, although it requires collecting an entire bowel movement. It can detect up to 93 percent of cancerous lesions.
  • High-Sensitivity Guaiac-Based Fecal Occult Blood Testing (gFOBT): This noninvasive screening test uses a chemical reaction to detect hidden blood in stool, which may indicate colorectal cancer or polyps. Compared with older gFOBTs, it detects cancers more effectively but often requires dietary restrictions and avoiding vitamin C supplements for three days before testing to reduce false-positive results.

“While convenient, a positive result on any of these tests necessitates a follow-up colonoscopy,” Lee-Kong said. A follow-up colonoscopy is generally recommended within nine months.

Other visual and imaging tests, which also require bowel preparation, include the following:

  • Flexible Sigmoidoscopy: Uses a scope to examine only the lower third of the colon. It can be performed while the patient is awake and can detect about 70 percent of polyps or tumors, although it does not assess the upper colon.
  • Virtual Colonoscopy (CT Colonography): This noninvasive imaging test uses a CT scan after air is introduced into the rectum. It can detect most larger tumors but may miss smaller polyps, which could still require a follow-up colonoscopy for removal.

Lee-Kong noted that these alternatives may be particularly appropriate for average-risk people who decline colonoscopy and for frail older people or others for whom the risks outweigh the benefits.

Tyler Durden
Wed, 06/03/2026 – 20:55

Is John Cornyn Trying To Sabotage Ken Paxton?

Is John Cornyn Trying To Sabotage Ken Paxton?

Texas Republicans handed Sen. John Cornyn one of the most humiliating defeats in the state’s modern political history in this year’s primary runoff. A week after being clobbered by Texas Attorney General Ken Paxton, he is amplifying a Libertarian candidate, in an apparent attempt to siphon conservative votes from Ken Paxton in the general election in November.

In a post on X, Cornyn shared a Houston Public Media interview profiling Libertarian nominee Ted Brown, whose 2026 Senate campaign is built around courting conservatives dissatisfied with the Republican primary results.

The article itself makes it very clear that Brown has the potential to be a spoiler for Paxton. “Most polling shows Texas’ U.S. Senate race between state Attorney General Ken Paxton, the Republican candidate, and Austin state Rep. James Talarico, his Democratic opponent, as extremely close,” it opens. “That potentially creates an opening for a third-party candidate, Libertarian Ted Brown, to shape the outcome.”

Brown pulled more than 267,000 votes in the 2024 Texas Senate race, a record performance for a Libertarian candidate in the state, and Cornyn just handed him a megaphone.

Cornyn had initially signaled he would fall in line behind the GOP nominee.

“I’ve spent most of my time in the Senate building the Republican party in Texas and in the U.S. Senate, and I’ve always supported the Republican ticket, and I intend to do so again in this general election,” he said when he addressed his supporters last week after the election results. “I’ve said throughout this race that I trust the voters of Texas, and they’ve made their decision, and I must respect it.

Since then, however, he has been walking back that pledge.

“I stand by everything I said during the whole campaign,” Cornyn told reporters on Monday, and implied that Paxton can’t win the race.

“I’d prefer a Republican to somebody like James Talarico,” Cornyn said. “But I’m going to concentrate most of my efforts on trying to keep the Senate by helping some of what I consider to be the more winnable races around the country.”

Brown understands exactly what he is doing. He told Houston Public Media he is appealing to voters who “aren’t satisfied with the primary results.” When asked about playing spoiler, he pushed back with characteristic flair: “Frankly, you can’t spoil something that’s rotten and putrid to begin with,” Brown told Houston Public Media. He is clearly hunting for precisely the kind of voter a bitter, defeated incumbent might quietly nudge his direction.

Whether Cornyn intended that outcome or simply failed to think through the signal his post sent is almost beside the point. The effect is the same. A senator who lost to Paxton’s MAGA-aligned coalition is now boosting a third-party candidate whose entire pitch rests on making conservatives feel justified in abandoning the Republican nominee.

Paxton enters the general election with real structural advantages. He has won statewide elections in Texas three times already, while his Democratic opponent, James Talarico, is introducing himself to Texans statewide, giving Republicans the advantage of defining Talarico based on his controversial statements and positions on gender and other issues out of step with mainstream Texas voters.

While polls suggest a tight race, the prediction markets see what’s coming. Polymarket and Kalshi both give Paxton roughly a 60% chance of winning, compared to Talarico’s roughly 40%. Talarico has never led in the prediction markets. Texas remains a fundamentally red state, and the fundamentals favor Paxton.

Promoting a Libertarian candidate who openly fishes for unhappy Republicans while simultaneously calling the Republican nominee a crook sends a message to Texas conservatives that it’s okay not to back the Republican candidate, effectively validating the MAGA base’s concerns about Cornyn.

While Paxton is still favored, Cornyn just made this race harder without delivering any discernible benefit to the party he claims to support. Talarico isn’t the only person to gain from Cornyn amplifying the Libertarian targeting conservative voters. Cornyn himself may see a Paxton defeat as validation of his primary campaign message that he was the best candidate to lead the GOP to victory.

Tyler Durden
Wed, 06/03/2026 – 20:30

Scientists Boost Battery, Fuel Cell Performance By Over 300%

Scientists Boost Battery, Fuel Cell Performance By Over 300%

Authored by Neetika Walter via Interesting Engineering,

Researchers in South Korea have developed a new catalyst design strategy that boosts the efficiency of reactions used in batteries and hydrogen fuel cells without changing the catalyst itself.

New catalyst approach could improve fuel cells and batteries  (Representational image)Shutterstock

The team, led by Professor Seung Jun Hwang of POSTECH and Professor Jaeyune Ryu of Seoul National University, found that adjusting the electrical environment around a catalyst can significantly improve its performance. The approach could help reduce energy losses in next-generation energy systems while improving efficiency and stability.

Catalysts are materials that speed up chemical reactions. They are essential components in technologies such as hydrogen fuel cells and metal-air batteries, where they help drive the reactions that generate electricity.

Traditionally, researchers improve catalysts by changing the central metal, such as iron, cobalt, or nickel, or by redesigning the surrounding molecular structure known as a ligand. The new study takes a different route by leaving the catalyst largely unchanged and instead modifying the electric field around it.

Electric Fields Drive Gains

The researchers demonstrated that placing positively charged ions, known as cations, near the catalyst creates a localized electric field that influences how reactions proceed.

The team focused on the oxygen reduction reaction (ORR), a key electrochemical process that generates electricity in fuel cells and metal-air batteries. Improving this reaction has long been a goal because it directly affects device efficiency and energy consumption.

Experiments showed that the share of the desired reaction pathway increased from roughly 12 percent to as much as 52 percent when the electric field was introduced. This allowed the reaction to occur more efficiently while requiring less energy.

According to the researchers, the results suggest that catalyst performance can be tuned through environmental control rather than by redesigning catalyst materials from scratch. Such an approach could simplify future catalyst development and lower costs associated with creating new materials.

Beyond Batteries And Fuel

The implications may extend beyond energy storage and hydrogen technologies. The researchers believe the same principle could be applied to catalysts used for carbon dioxide conversion and environmentally friendly hydrogen production.

Many clean-energy technologies rely on catalysts to control complex chemical reactions. Being able to improve those reactions by adjusting local electrical conditions could provide a new tool for designing more efficient systems.

This study demonstrates that reaction properties can be precisely controlled solely through the surrounding electrical environment, without changing the structure of the catalyst itself,” said Hwang.

The researchers say the findings open a new direction for catalyst engineering by shifting attention from the catalyst’s structure to its operating environment.

The oxygen reduction reaction examined in the study is a core process in hydrogen fuel cells, which generate electricity from hydrogen and oxygen, as well as metal-air batteries that use oxygen from the atmosphere as part of the energy storage process.

We expect it to present a new direction for developing next-generation batteries, fuel cells, and eco-friendly energy catalyst technologies,” Hwang added.

If the approach can be scaled and applied across different catalyst systems, it could help improve the performance of a wide range of clean-energy technologies without requiring entirely new catalyst materials.

The study was published in the Journal of the American Chemical Society.

Tyler Durden
Wed, 06/03/2026 – 19:15

Central Bank Gold Buying Rebounds In April From Dramatic March Selloff

Central Bank Gold Buying Rebounds In April From Dramatic March Selloff

First the good news: according to the latest World Gold Council update, central banks, a key pillar of the bullish case for gold, have returned to adding holdings in April after notable selling in March sent the price of the precious metal tumbling. The 17 ton purchase represents a turnaround from steep sales in March, which at nearly 30 tons were the largest monthly gold sales in years, driven almost entirely by Turkey. Poland remained the top buyer in the month, while China accelerated its pace of purchases. 

According to WGC, Poland remained be the top buyer in the month (14t), while China intensified its pace of purchases: its 8t net purchase was the highest since December 2024 and extends its current buying run to 18 consecutive months. The Czech Republic shows similar consistency in purchases, having bought 3t in April, its 38th consecutive monthly purchase. Meanwhile, Russia continues its sales streak this month (6t), with y-t-d sales of 22t.

Reported activity in April and y-t-d was concentrated in: 

  • National Bank of Poland drove much of April’s buying activity, having bought 14t. This brings Poland’s y-t-d gold purchases to 45t with its gold reserves at595t or about 30% of its total reserves.
  • People’s Bank of China added 8t to its gold reserves during the month, highest since December 2024. Official gold reserves now stand at 9% of total reserves or around 2,322t. China has been consistently purchasing gold over the past 18 consecutive months.
  • Czech National Bank’s modest but consistent 2t net purchases in April brings its gold reserves to 79t or 6% of its total reserves.
  • Meanwhile, Central Bank of Uzbekistan sold 1t this month, though on a y-t-d basis, it remains a net purchaser (24t) and is second only to Poland. Uzbekistan’s reserves make up 88% of its total reserves or around 414t.
  • Central Bank of Russia continued it recent streak of net sales for the fourth month with reported April net sales of 6t.
  • March’s top seller, Central Bank of the Republic of Turkey reported virtually flat gold reserves in April, with weekly data showing that short-term gold/USD swaps matured in April, leaving only longer-term (1-3 month) gold/USD swaps outstanding. More on Turkey’s recent reserve management operations can be found in our recently published Gold Demand Trends Q1 2026.
  • Eastern European and Asian central banks continue to dominate gold purchases with consistent purchases. Over the past 36 months, both regions have purchased 12t and 11t per month on average collectively. Global central banks activity shows average net purchases of 29t over the same period (Chart 2).

Now the bad news: according to Goldman, even as the rebound signals a return to sturdy central bank demand, it’s trending at a fraction of last year’s average pace. Meanwhile, the driver of last year’s tremendous move higher which pushed gold above $5000, has yet to return: the furious ETF buying that characterized the meltup phase in gold, is not there; in fact, ETFs continue to sell as all momentum-chasing liquidity has landed in such areas as chip and memory stocks.

That underscores that the market is currently more focused on the near-term headwinds for the bullion rather than its structural tailwinds.

Meanwhile, with Treasury yields and the dollar grinding higher as the US economy proves surprisingly resilient in the face of elevated oil prices, and with positioning on the back foot, the path ahead for gold remains challenged.

Tyler Durden
Wed, 06/03/2026 – 18:50

House Passes Dem Resolution to Block U.S. Military Action Against Iran In Narrow Vote

House Passes Dem Resolution to Block U.S. Military Action Against Iran In Narrow Vote

The U.S. House of Representatives passed a resolution on June 3 directing the withdrawal of U.S. troops from armed hostilities with Iran, in a closely divided 215–208 vote.

Four Republicans joined Democrats in supporting the measure, which invokes the 1973 War Powers Resolution to require President Donald Trump to either end the operations or seek explicit congressional approval to continue them.

The resolution comes amid ongoing tensions in the region.

Although Washington and Tehran announced a ceasefire on April 7, U.S. forces have enforced an armed blockade of Iranian ports, leading to several exchanges of fire.

On June 2, U.S. forces struck an oil tanker, prompting Iranian missile and drone attacks on U.S. positions in Kuwait and Bahrain.

Mixed Reactions and Political Context

House Speaker Mike Johnson (R-La.) argued that the timing of the resolution was problematic, as it could interfere with President Trump’s ongoing efforts to negotiate a lasting peace agreement with Iran.

“The president is now in the process of concluding a peace agreement, and we have to allow him the latitude to do that,” Johnson said. “I think a war powers resolution right now is very untimely.”

In contrast, Rep. Rosa DeLauro (D-Conn.) said Congress should have acted sooner to pull back U.S. forces. She expressed hope that more Republicans would support the measure, stating, “I’m hoping that they will see the light.”

This marks the second attempt in recent weeks. A similar resolution failed on May 14 in a 212–212 tie. Republican leadership had previously postponed a scheduled May 21 vote.

The measure now moves to the Senate, where passage is uncertain, and it would likely face a veto from President Trump if approved.

The vote reflects deepening divisions in Congress over the scope and authorization of U.S. military involvement in the Iran conflict, which began escalating in late February.

Supporters of the resolution argue it upholds congressional authority under the War Powers Resolution, which generally requires presidents to withdraw forces from unauthorized hostilities within 60 days (with a possible 30-day extension for safe withdrawal).

Tyler Durden
Wed, 06/03/2026 – 18:25

Broadcom Crashes After AI Chip Revenue Forecast Misses

Broadcom Crashes After AI Chip Revenue Forecast Misses

Broadcaom stock is plunging in after-hours trading, after the company reported Q2 results which delivered a disappointing forecast for AI chip revenue, signaling that the company is either progressing more slowly than anticipated in the burgeoning industry, or that unlike its peers, is actually truthful in predicting the potential of the AI bubble.

The historicals were ok: in the fiscal second quarter, which ended May 3, sales rose 48% to $22.2 billion, just barely beating the $22.1 estimate. AI semiconductor revenue was $10.8 billion, also just barely above estimates of $10.7 billion. That category includes custom-built accelerators – the chips used to develop and run AI models – as well as networking semiconductors. Adjusted EPS climbed to $2.44 a share, also modestly beat the median estimate of $2.39.

But the forecast was a problem: AI semiconductor revenue will be $16 billion in the fiscal third quarter, missing analyst estimates of $17.2 billion. Total revenue will be about $29.4 billion, which while higher than the $28.6 billion median estimate was below some buyside bogeys which ranged billions of dollars higher. EBITDA guidance of 68.0%, also missed the street at 69.1%.

The forecast miss is concerning: Broadcom has signed and expanded long-term deals with companies like Google, Anthropic and Meta but questions remain as to how much revenue will be recognized in each quarter, as opposed to being accounted for in a multiyear backlog. 

Investors were also disappointed after the company kept its full year AI target at 10GW in 2027 and $100BN in chip sales for the full year, instead of boosting guidance as it had in prior quarters. The pressure was also margin related as GOOGL TPU growth generating lower margins than networking and software. 

CEO Hock Tan has tied the company’s fortunes to AI gear, betting on a rapid expansion of data centers and other infrastructure. While Nvidia remains the dominant maker of AI accelerators, Broadcom has positioned itself as a key alternative. 

In hopes of boosting its operational leverage, Broadcom has been taking a bigger role helping finance the purchase of chips. As Bloomberg reported over the weekend, Apollo and Blackstone are working on a roughly $36 billion debt financing deal to help Anthropic pay for its Google chips that Broadcom helped develop. Broadcom is backstopping payments on the largest portions of the transaction, Bloomberg reported. So we have yet another circular deal: Broadcom is funding the SPV that will allow Anthropic to pay Google for Broadcom chips. You can see why the entire AI industry is now so careful about even the smallest drawdown: if even the smallest cracks appear, questions will once again start swirling about risk and ROI, and now that there are over $600BN in private credit SPV backstopping future growth, the entire house of cards could come crashing down.

Against that backdrop, the latest report failed to satisfy investors, with the stock crashing over 12% in late trading, erasing all the recent “gamma squeeze” gains orchestrated by market makers to set the stage for the coming mega IPOs. It was up 38% this year through the close; those gains have been cut in half after the results. 

 

While Broadcom has made progress in pivoting to artificial intelligence customers, it finds itself against increasingly cutthroat competition and higher expectations. Broadcom added roughly $270 billion in market value over the last five trading sessions before the earnings report, fueled by AI optimism. All of that has been wiped out. 

Tyler Durden
Wed, 06/03/2026 – 18:18

SPLC Employee Funneled $1.2 Million To Neo-Nazi Lover – And More: DOJ Superseding Indictment

SPLC Employee Funneled $1.2 Million To Neo-Nazi Lover – And More: DOJ Superseding Indictment

The Southern Poverty Law Center built a massive empire – ballooning to over $787 million in assets – by promising donors it was the frontline defender against “hate” and white supremacy. But according to the Department of Justice’s superseding indictment, the organization allegedly funneled millions in tax-exempt donor dollars to the very extremists it publicly condemned.

The Juiciest Revelation: The $1.2 Million Romantic Entanglement

One of the most shocking details involves “F-9” – a field source affiliated with the neo-Nazi National Alliance. The SPLC allegedly paid this individual over $1.2 million while F-9 was in a romantic relationship with an SPLC employee.

While on the SPLC payroll, F-9 reportedly continued raising funds for the National Alliance.

Other Damning Allegations From The Superseding Indictment

  • F-30 (Nazi/KKK/Aryan Nations leader): Paid more than $70K after asking to leave the movement. Instead, the SPLC allegedly kept them on salary to host rallies, recruit, and publish extremist material.
  • F-31 & F-32 (KKK members): Wanted out in 2010 but were allegedly bribed to stay active. Funds reimbursed cross-burning materials, including wood and fuel, and helped them gain leadership roles.
  • F-37 (Unite the Right): Paid over $300K. This individual was in the leadership chat for the 2017 Charlottesville rally, made racist posts under SPLC supervision, and arranged transportation for attendees.
  • F-42 (Neo-Nazi National Alliance chairman): Received $155K+ while simultaneously listed on the SPLC’s own “Extremist File” webpage.
  • Additional payments: Approximately $350K to a National Socialist Movement officer and $19K to American Front’s national president, a convicted cross-burning felon.

The Bigger Picture: Alleged Hate-For-Profit Machine

The DOJ alleges the SPLC used fictitious entities and shell accounts, including fake “Rare Books” employment covers, to conceal payments totaling over $4 million. Donors were told the money would dismantle extremism – instead, it allegedly sustained rallies, recruitment, racist paraphernalia, and living expenses for extremists. The organization is accused of making payments amounting to over $1 million to a National Alliance affiliate, more than $300,000 to an Aryan Nations affiliate, $270,000 to a “Unite the Right” member, $140,000 to a former National Alliance chairman, $73,000 to former KKK members, and $19,000 to an American Front president and felon.

This ties into charges of wire fraud, false statements to banks, and conspiracy to commit concealment money laundering. Upon conviction, the SPLC could forfeit assets traceable to the alleged scheme.

The SPLC has denied wrongdoing, calling the program legitimate intelligence-gathering that has since been discontinued, and framing the case as political retaliation.

Tyler Durden
Wed, 06/03/2026 – 18:00

Step Aside Private Credit: Partners Group Is First Private Equity Fund To Gate Investors

Step Aside Private Credit: Partners Group Is First Private Equity Fund To Gate Investors

The private credit gating-gate is spilling over to private equity. 

Partners Group Holding AG has capped withdrawals at one of its evergreen private equity funds amid heightened redemption pressure, as the investor anxiety that hit private credit vehicles is now spilling over to other asset classes within private markets, Bloomberg reported.

The Swiss firm, one of Europe’s largest listed alternative asset managers, said its $8.6 billion Global Value SICAV fund was limiting redemptions to 5% of net asset value per quarter after withdrawal requests surged to an estimated 9.8% in the second quarter, according to a letter to investors seen by Bloomberg News.

Amid the surge in redemptions targeting private credit funds, a spokesperson for Partners Group told Bloomberg that there’s been a pick-up in redemption requests from private wealth clients across the firm’s evergreen portfolio. Such clients, who are typically “far more skittish than institutional investors”, make up about a fifth of assets under management across its platform and a particularly large proportion of Global Value’s investor base.

Partners Group is one of the pioneers of evergreen funds, which operate indefinitely and typically allow investors to withdraw at least a portion of their investments quarter-by-quarter rather than locking up the capital for a set period. It has more than 30 such funds across five asset classes with more than $56 billion combined AUM, the spokesperson said.

“There are some idiosyncratic factors for this fund in particular, but indeed you do see investors broadly, after having redemption pressure within private credit for a number of quarters, now starting to redeem other asset classes,” Chief Executive Officer David Layton told Bloomberg Television on Wednesday. Most of the redemptions in the Global Value fund are coming from Asia and Australia, he said.

Macroeconomic shifts and geopolitical conflicts have strained private markets in the last few years, with industry-wide volatility starting in private credit vehicles spilling over into private equity, Partners Group said in the letter. “These flow dynamics have recently accelerated” and impacted the fund, it added.

Partners Group “believes that redemption limitations are an indispensable feature of private markets investing to protect long-term investors in an inherently illiquid asset class,” it said in the letter. “Acting in the best interests of all investors in an evergreen fund means balancing the needs of those seeking liquidity while preserving investment capital for long-term investors who want to capitalize on market opportunities.”

In April, the company said it saw “positive fundraising momentum” for its private markets strategies in the first quarter, as it sought to distance itself from mounting concerns over the health of the private credit market.

The gating by Partners Group comes despite the fund’s liquidity standing at around 15% of net asset value. “In addition, the fund has access to an undrawn credit facility equal to 15% of the fund’s size,” the letter said.

Shares of the asset manager, which oversees about $185 billion across private equity, credit, real estate, infrastructure and royalties, tumbled as much as 18.2% in Zurich trading on Wednesday, the biggest intraday loss on record. They are down about 30% for the year. Shares in EQT AB and CVC Capital Partners Plc, two firms that are also know for such strategies, both fell more than 5%. 

The redemptions are the latest challenge confronting Partners Group, which a few weeks ago denied allegations of systematic asset over-valuation made in a report by short-seller Grizzly Research. 

Private credit funds have largely been in focus in recent months, suffering large outflows amid broader worries over debt quality and also rising concerns that many are overly exposed to software companies facing the risk of being upended by artificial intelligence. With investors scrambling to yank billions of dollars from such funds, some of the biggest money managers that have capped redemptions recently include Apollo Global Management Inc., KKR & Co., BlackRock Inc. and Blue Owl Capital Inc. Last night, we reported that Cliffwater was the first fund to report 2nd quarter redemption requests, which surged to 17%, up from 14% in Q1. The company imposed a 5% gate for the second consecutive quarter.

“The disease is spreading across private markets asset classes,” said Pierre-Yves Gauthier, CEO and head of strategy at AlphaValue. “There is presumably a case to trim earnings expectations on contracting AUMs.”

The 19-year-old Partners Group – which last enacted some liquidity restrictions during the pandemic – remains open to subscriptions and distributions for the full year are expected at 15%, one percentage point less than in 2025, the firm said.

In April, Grizzly Research targeted Partners Group saying it was shorting the stock, citing alleged valuation inconsistencies in evergreen funds, where it estimated as much as 40% of investments may be significantly mis-marked. Grizzly said it had identified discrepancies between reported valuations and underlying performance. In response, Partners Group, based near Zug, Switzerland, has said valuations are validated by third parties and broadly termed Grizzly’s claims as “frivolous, defamatory and highly misleading.” 

Layton said the short-seller report “certainly doesn’t help,” but it was hard to tell how much of a role it has played. “We don’t think it is significant but certainly it is one of the factors that’s leading to increased redemption pressure in this fund in particular,” he told BTV. 

Tyler Durden
Wed, 06/03/2026 – 09:20

SpaceX Reportedly Targets $135 IPO Price As Morningstar Says Valuation Should Be Halved

SpaceX Reportedly Targets $135 IPO Price As Morningstar Says Valuation Should Be Halved

Last week, Elon Musk called Bloomberg’s “SpaceX Said to Cut IPO Value” story “false,” marking the latest clash between Musk and the MSM over coverage of his companies.

Reuters has released a new report, which, based on sources, says SpaceX is planning an IPO at a price of $135 per share, aiming to raise a record $75 billion by selling about 555.6 million shares at an estimated $1.75 trillion valuation.

SpaceX’s roadshow is expected to begin Thursday, with a potential Nasdaq debut under the ticker SPCX on June 12. Goldman Sachs, Morgan Stanley, BofA, Citigroup, and JPMorgan are leading the deal.

Sources said the IPO is “structured as an all-primary offering,” which means the proceeds will go to SpaceX rather than existing shareholders. Musk will reportedly be subject to a 366-day lock-up period.

At a $1.75 trillion valuation and projected 2025 booking revenue of $18.67 billion, SpaceX would trade at roughly 94 times trailing sales. The company also reported a $4.94 billion net loss in 2025, compared with a prior-year profit, with Starlink internet as the major profit engine.

Beyond Reuters’ reporting, there was a separate report from Morningstar analysts stating that SpaceX’s valuation should be less than half of the $1.75 trillion figure, and closer to $780 billion.

Morningstar equity analyst Nicolas Owens wrote in a note that his team “doesn’t see Grok as one of the leading AI labs today,” adding:

“We think the company has been significantly overvalued and investors will have opportunities to buy the stock at more attractive levels after the IPO.”

Polymarket odds for “SpaceX IPO closing market cap above ___ ?” currently stand at 89% for a market cap above $1.8 trillion.

SpaceX IPO closing market cap above $1.8T?
Yes 89% · No 12%
View full market & trade on Polymarket

Related:

SpaceX is preparing a record-setting IPO that would test public-market appetite for Musk’s empire, space, and AI. This listing is expected to pave the way for other mega IPOs, such as those of chatbot makers OpenAI and Anthropic.

Tyler Durden
Wed, 06/03/2026 – 09:00

Family Of Henry Nowak’s Migrant Killer Sparks Outrage After Asking For “No Further Pain” In Tone-Deaf Statement

Family Of Henry Nowak’s Migrant Killer Sparks Outrage After Asking For “No Further Pain” In Tone-Deaf Statement

Via Remix News,

The family of Vickrum Digwa has been accused of adding insult to injury after issuing a statement asking that Henry Nowak’s murder not be used to cause “further pain,” despite fierce public anger over the way the 18-year-old was stabbed, falsely accused, handcuffed and left dying in the street.

Vickrum Digwa was sentenced to life in prison with a minimum term of 21 years on Monday after stabbing 18-year-old Henry Nowak multiple times in Southampton. According to the account provided, Henry was stabbed five times, including twice in the back of the legs, once in the face and once fatally in the chest.

The case has caused national outrage not only because of the killing itself, but the wider context. After the stabbing, Digwa’s brother phoned police and claimed that “some White guy” had racially insulted his brother. Henry had not done so, a court ruled. Instead, Digwa had used a ceremonial knife to stab him repeatedly.

Police then arrested Henry purely on the basis of the report of racial assault against him. Bodycam footage released by the Crown Prosecution Service after the sentencing showed Henry lying motionless on the ground while being arrested on suspicion of assault. He told officers he had been stabbed and could not breathe.

“I don’t think you have, mate,” one officer replied.

Henry died minutes later.

Against that background, the Digwa family’s statement has been met with disbelief. The statement said, “The loss of a young life is a grief that no family should ever have to carry. We are deeply sorry for the pain and suffering the Nowak family has had to endure.”

“We love Vickrum. We will continue to love him. That love does not stand in opposition to the sorrow we feel for the Nowak family. Both are real, and both will remain with us for the rest of our lives.”

But the line that has drawn particular anger came later, when the family said: “We would give anything to turn back time so the path of both Henry and Vickrum never crossed that night. We cannot change what has happened; we just hope that no further pain is caused in its name.”

Rather than calling an ambulance, Digwa filmed Henry. The murder weapon was given to his mother, and police later found it at the family home along with more than 20 other weapons. His mother is due to be sentenced for removing the murder weapon from the crime scene.

“We ask that this tragedy is not used by anyone to inflame division or hostility towards any community. We now ask for privacy as we come to terms with what lies ahead,” the family added.

GB News anchor Patrick Christys wrote in response, “F*** off. They didn’t call an ambulance, they lied to police, they played the race card, they also raised a monster. They get to visit their son in prison, the Nowaks will never see their son again.”

Political commentator Connor Tomlinson wrote, “The Digwa family aren’t sorry. They just wish they hadn’t been caught.”

“Note that they laundered this face-saving statement through a ‘Sikh Press Association’ account,” he added. “I can’t name a white advocacy organisation that would publish a statement from a family who conspired to cover up a murder.”

GB News presenter Michelle Dewberry said she had heard what members of the Digwa contingent had said and done in court towards the Nowak family.

“It didn’t sound like the behavior of people who are ‘deeply sorry’ to me,” she wrote.

Dewberry was referencing the conduct of the Digwa family at the court during Monday’s sentencing hearing, in which they continued to claim they were being racially discriminated against.

Presenter Dan Wootton also condemned the statement, writing.

“This is a revolting and reprehensible statement from Henry Nowak murderer Digwa’s family.”

The conduct of Digwa’s relatives is now under wider scrutiny. Reform UK MP Robert Jenrick, a former Conservative Home Office minister, asked why Digwa’s brother and father had not yet been charged.

“I hope Hampshire Police and the CPS have a good explanation as to why Digwa’s brother and father have not yet been charged,” he wrote.

“His mother is being sentenced soon for removing the murder weapon from the crime scene. If his brother and father knew Henry had been stabbed, are they not accessories too?

“The brother called 999 to falsely report Henry for racially attacking the murderer. The father physically detained a dying Henry until the police arrived. None of them informed the police that Henry had been stabbed. All watched him die, handcuffed, on the ground,” he added.

Henry’s family issued statements outside court after the sentencing. They described his treatment by police as “inhumane and degrading.” His father said Henry “did not die with dignity.” His sister, Olivia Nowak, said, “The day we got the knock on the door to say my brother had passed, I don’t think there are any words to describe that type of pain. A lot of myself died when he died.

“Henry was the most wonderful, funny, handsome, kind, precious, smart boy. He lit every room he walked in,” she added.

On Tuesday, Reform UK leader Nigel Farage said people should respond to Henry Nowak’s death with “pure cold rage,” calling it evidence of a “two-tier culture.”

Restore Britain leader Rupert Lowe said Digwa should face the death penalty. “A Restore Britain Government, with the British people’s approval, would put Vickrum Digwa to death,” he wrote. “Henry Nowak was stabbed by Digwa five times, including twice in the back of his legs, once in the face, and a fatal wound to the chest.”

“Rather than calling an ambulance, Digwa filmed Henry. Digwa gave the knife to his mother and it was found by police at their home along with more than 20 other weapons. Keeping this savage alive serves nobody,” he added.

Lowe also said the police officers at the scene “who allowed Henry to die” would face criminal charges for gross negligence manslaughter under a Restore Britain government, and that “Digwa’s foreign family will be deported.”

Read more here…

Tyler Durden
Wed, 06/03/2026 – 08:45