This summer was one of the hottest on record. The global surface temperature was the third-warmest in the 144 years we have data for… coming in 2.32 degrees Fahrenheit above the baseline average.

The reason for this sudden surge may surprise you…

A volcano.

In January 2022, the Hunga Tonga-Hunga Ha’apai volcano erupted in the Pacific Ocean. It was the largest explosion recorded in over 150 years. The natural disaster shot volcanic debris 35 miles into the mesosphere, the highest point an eruption column has reached in recorded history.

This volcanic plume injected large amounts of sulfur dioxide and water vapor into the stratosphere.

The toxic combo then reflected sunlight coming up from the Earth, warming the surface.

One study estimates global warming will exceed 2.7 degrees Fahrenheit in at least one of the next five years thanks to the eruption.

Based on the unusually warm weather this summer, it seems 2023 may be that year.

Now, don’t get me wrong… I am far from a climate doom-and-gloomer. I believe Greta Thunberg and her ilk are doing society a major disservice by pushing for “degrowth” in the name of fighting climate change.

And politicians in Washington and at the World Economic Forum are quick to use climate change to push their own expensive agendas… enriching themselves in the process.

But whether it’s due to natural occurrences like the Hunga Tonga eruption or human-produced carbon emissions (mainly from China and India), the Earth is seeing a change in its weather patterns. Whether government policies can do anything about it remains to be seen… and I won’t hold my breath.

Here’s what’s not up for debate… Governments around the world are going to spend billions of dollars trying to solve this problem…

Regardless of whether policy changes can do anything about it.

So it’s a good idea to buy shares of companies that will benefit from this spending.

A “Green” Revolution (for Your Wallet)

As a free market believer, I have a problem with the government picking winners and losers.

But the fact is… it always will. As investors, we can profit from it, especially when the money being spent is easily trackable.

For instance, the Biden administration earmarked $370 billion for efficiency improvements in clean energy and building product manufacturing. This includes energy upgrades for both residential and nonresidential buildings.

The bill set aside $20 billion for clean energy products such as residential heat pumps and community cooling centers. This is in line with the administration’s goal of reducing carbon emissions by 40% by 2030.

Never mind the fact that U.S. per capita carbon emissions are at the same level they were at in 1912…

But, again, governments are going to spend like drunken sailors whether it’s warranted or not.

Whether you believe our government can do anything about it is beside the point. It is going to spend billions trying to reduce our country’s carbon footprint.

That’s good news for companies that sell products that help homes and buildings run more efficiently – and directly benefit from these subsidies.

That means there is a solid secular trend working in our favor… for years to come.

YOUR ACTION PLAN

The government spending on reducing our carbon footprint is good news for energy efficiency companies. However, there is one opportunity in the markets that tops even this green energy investing theme.

And at the Breakout Fortunes Summit, a free special event I’m hosting on October 5 at 2 p.m. ET, I’ll reveal the No. 1 opportunity I see in the markets… and my three top picks for playing it.

I’ll even share the driving factor that’s behind top stocks that have soared by over 10,000%… 50,000%… and even 100,000% over the past two decades.

It’s NOT something you’ll hear about from any Wall Street professional. But you’ll get all the details at my FREE event.

Be sure to sign up here.

FUN FACT FRIDAY

Thanks, Ben Franklin: After the discovery of electricity, ticker tape became the earliest electrical dedicated financial medium for measuring stock prices. The tape would transmit the prices over telegraph lines, which consisted of a paper strip that ran through a machine called a stock ticker. The term “ticker” came from the sound made by the machine as it printed.