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Good morning. David Meyer here in Berlin, filling in for Alan.Im not going to get into the compromises that were made to get to this point, or indeed the many parts of the bill that dont relate to climateIm not American and my only personal stake in this is the same that is shared by everyone on the planet; that is to say a stake in our shared global environment, which cares nothing for borders.On that basis, and on the assumption that the bill will now pass Congress, I will say this: Thank you, America.

Its a flawed package, but it nonetheless represents by far the strongest U.S. climate legislation yetand to me, it represents hope.

Like many people, I have recently found myself tempted by climate doomerisman easy trap to fall into, given the very visible onset of the emergencys symptoms in the last couple of years, and severalworryingsigns that we might be on the edge of an irreversible slide into an inhabitable world.

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These things could yet happen, and we must do everything we can to avoid that fate. However, we are making significant progress, and it is incredibly important to recognize that.

As the leading climate scientist Michael E. Mann tweeted in response to the Sinema news, this is why we dont give up.

The Inflation Reduction Act should over the next decade reduce the U.S.s domestic carbon emissions by as much as 45% compared with their peak in 2005.

Meanwhile over in Australia, another country that is somewhat late to the mitigation party, a new climate bill will also target a cut of at least 43% by 2030.

China, whose levels of pollution climate inactivists love to cite as some kind of perverse reason not to try harder in the West, may actually be on track to beat its own 2030 emissions-reduction goals.

Last month, Bloomberg reported that the U.S. had crossed the critical EV tipping point at which 5% of new car sales were those of electric vehicles. Europe and China were already there; mass adoption of electrified transport is now firmly in our sights.

It is also encouraging to see in Manchins damascene conversion a hint of a new mentality that recognizes the economic opportunities that are currently manifesting, and that no politician should ignorehe wants to keep his state an energy state, and he seems to finally recognize that this will only be achievable by opening the door to non-fossil-fuel energy sources.

Theres so much that still needs to be done, and so much pressure and innovation that will be necessary to get us where we need to go, butwith my eyes firmly and still nervously on the scienceI believe it is achievable.

Weve dealt with acid rain and the hole in the ozone layer, and we can deal with this too. That wont mean a return to the climate of a couple decades agoits too late for that and things will definitely continue to get worse from herebut there are many reasons to believe humanity can still avoid a hellscape future. It will be a hard grind, but we can do it.

More news below.

David [email protected]@fortune.com

TOP NEWS

Musk vs Twitter

Elon Musk has countersued Twitter, claiming the company misrepresented its health and user metrics ahead of the ill-fated $44 billion takeover agreement. The suit alleges that Twitter had around 65 million fewer users seeing ads than the 238 million it claimed to have. Twitter chair Bret Taylor called the allegations factually inaccurate, legally insufficient, and commercially irrelevant. Wall Street Journal

Gas competition

Asia and Europe are racing one another to secure natural-gas supplies before the winter, and the result will likely be a further rise in prices. Liquefied natural gas supplies were primarily heading to Asia, but Russias gas squeeze is forcing Europe to grab all the LNG it can get its hands on. (Incidentally, Germany reportedly has its gas storage levels up to the usual level for this time of year, despite Russia strangling supplies.) Financial Times

Recession for women

Pipeline CEO Katica Roy has penned a passionate plea for gender-based impact assessments as the U.S. battles inflation. Indeed, she writes, the recession is already here if youre a woman: Women habitually and disproportionately suffer during economic downturns because of centuries of pent-up inequityWe should start figuring out what well do to ensure women and the millions of families that depend on them for their financial security arent swept away when the tide goes out. Fortune

AROUND THE WATERCOOLER

Cracks beginning to show: Wells Fargo senior economist is spotting signs of weakness ahead of Julys U.S. jobs report, by Associated Press

Were stuck with this white elephant: A Wisconsin towns big bet on electronics maker Foxconn hasnt panned out as planned, by Grady McGregor

Several U.S. states are giving residents up to $1,500 to counter inflation, but the IMF is telling Europe dont even think about it, by Colin Lodewick

The other supply-chain crisis: The Rhine is drying up, and it could become the Achilles heel of European energy, Deutsche Bank warns, by Alena Botros

Tesla and Pfizer are among the worlds 20 fastest-growing big companies, by Paige McGlauflin

This edition of CEO Daily was edited by David Meyer.

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